Originally Posted by aaronc879
I figured there had to be a catch. You don't get to own a place right on the beach for $40K without there being a catch. You don't make it sound very attractive. Maybe i'll have to buy a manufactured home in a gated community a little further from the coast.
Yes, there is a catch. They need new owners to keep paying the HOA fees. My guess would be that this $40K unit was $150K not too long ago. I would not be surprised if it's owned by the HOA because the owner stopped paying HOA fees. Everybody else makes money from the association manager to the hotel operator except the owner. I have other properties to compensate for the loss on this one. It does however provide me with some nice tax deductions even though I am still out of pocket quite a bit.