W2R
Moderator Emeritus
Wow! That's equivalent to an 8.2% increase per year. Sure exceeds the CPI (but then what doesn't - - I just got gas for the first time since early February, and the price increase really floored me).
Condominium Costs
- Thread starter Rich_by_the_Bay
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Wow! That's equivalent to an 8.2% increase per year. Sure exceeds the CPI (but then what doesn't - - I just got gas for the first time since early February, and the price increase really floored me).
Urchina
Full time employment: Posting here.
Want2Retire, yep, it's been a steep climb up with no end in sight. The drivers are two-fold: One, the roofs on our 30-year-old buildings are slowly failing, so we've got to replace them, and roofing costs are going up because all of their materials costs are going up (because most roofing is petroleum-based --- even here in red-tile-roof-land).
Second, our earthquake and fire insurance keeps going up -- it more than doubled last year alone. So while our expenditures have remained constant (or even lowered, in some cases), it doesn't matter -- those HOA fees have got to keep going up. I suspect they will continue a similar trajectory in the future.
Second, our earthquake and fire insurance keeps going up -- it more than doubled last year alone. So while our expenditures have remained constant (or even lowered, in some cases), it doesn't matter -- those HOA fees have got to keep going up. I suspect they will continue a similar trajectory in the future.
lazygood4nothinbum
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does the size of a condo make a big difference? i know that after a tower on a beach has been deteriorating for 30 years that it is very expensive to redo all the balconies (read: multi-millions). i know that just the plumbing on my friend's air conditioning system will cost their building $2mm.
on the one hand in a big building there are more units to spread the cost. but because of the size & complexity of the building, are the costs per unit exponentially larger than they would be in a smaller building?
on the one hand in a big building there are more units to spread the cost. but because of the size & complexity of the building, are the costs per unit exponentially larger than they would be in a smaller building?
Brat
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
Maintenance on construction, SFDs and condos, near salt water is much higher than inland.
Insurance, particularly in FL, has gone up for all types of housing.
I affirm what urchina said.
Have a CPA review their financials, obtain a copy of their latest reserve study - hire a home inspector to not only look at the unit but also look at the building with the reserve study in hand.
Insurance, particularly in FL, has gone up for all types of housing.
I affirm what urchina said.
Have a CPA review their financials, obtain a copy of their latest reserve study - hire a home inspector to not only look at the unit but also look at the building with the reserve study in hand.
I would also caution against buying a new condominium - there are so new many buildings where only a few units have sold... those buyers are in for trouble and I would not want to be one of them. We saw that happen in the late 80's when many units went for auction and it took 20 years for the people that paid full price at that time to recover.
I would also suggest you buy a condo that is similar or more in price than a SFH in the area - that way, people are there because they CHOOSE to live in a condo, not because that's the only thing they can afford. People voluntarily living in a condo instead of a SFH will, naturally, be quieter and more respectful and better neighbors.
I would also suggest you buy a condo that is similar or more in price than a SFH in the area - that way, people are there because they CHOOSE to live in a condo, not because that's the only thing they can afford. People voluntarily living in a condo instead of a SFH will, naturally, be quieter and more respectful and better neighbors.
free4now
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I second that. When I moved into my condo nine years ago I didn't know what a reserve study was, and it turned out the board didn't either. There was no reserve study because the HOA had been using a big developer settlement from the past as the reserves. They just spent it until it was gone and then had no plan. It took a few years, but that board got overthrown, and a new board came in and started running things right. It took a $5k special assessment and about 20% dues increase to get back on track though.
Brat
Give me a museum and I'll fill it. (Picasso) Give me a forum ...
If Rich is planning to move near his son SFD may not be in his budget. $750 is a starter home in a decent neighborhood in Sunnyvale, for example. For that much he MIGHT find a condo in Mountain View, a closet in Los Altos or Palo Alto. My daughter has a SFD in Los Altos, the cost made me shudder.
