Condo vs a Home as an Investment
Real estate investing is a one of many great ways solidify a secure financial future. Buying a home or condo property requires much work; and many investment properties may require renovations to resell or rent at a higher value. The decision to buy a condominium or single family home as an investment has many benefits and challenges but the first thing to always consider is not just your own decision but also the secondary buyer’s perspective; the type of buyer or renter (and their lifestyle) you’ll want to attract to your investment property. Whichever property you invest in, you must consider who you will market to and what their needs are. Based on this assessment you can make the decision on which property best fits your investment goals to move forward.
Location is one of the most important factors of any real estate investing whether buy a home or condo. Buying in the right market at the right time can lead to very favorable and profitable returns for smart investors and get the best buyers for your property. Once you’ve chosen the location and know what type of buyers you’re looking to attract use this quick basic guide to should help you compare the type of property to consider:
Condos as an investment:
Decide if you want to resell or rent. Both Condos and homes produce a diverse volume of buyers from the retired community to international clients, first time home buyers, renters and professionals. Condos will have a unique edge for buyers and renters due to the lower cost of ownership overall and low maintenance and repairs of residences.
Condos feature amenities and features that single family residence may not offer. Features that may be attractive to renters and buyers include: private balconies sports courts, swimming pool, spa, gym and business center and any other facilities that make condo living more simplistic and convenient for buyers and renters.
Security can be a valuable feature of condo living for buyers and renters. Many high rise residences feature services such as gated entry, 24 hour security, valet, doorman and private elevator access that make buyers more feel confident and protected when considering buying a home.
Homes as an investment:
As an investor you should know that buyers interested in purchasing a remodeled/renovated single family home will enjoy having more control over their residence. No restrictions on number of guests, outside use, changes or updates can make your investment more preferable for possible buyers who want property freedom.
Privacy in a home is a top priority for many buyers. With no direct next door neighbor or adjacent buildings, home-owners privacy is always protected which is an added plus for buyers interested in your investment property..
More individuals and families are making provisions to become homeowners. This is a great advantage for investors who want to capitalize on the increasing values homes. When you buy an inexpensive/distressed home as an investment property and resell or rent, you reap the benefits as prices begin to rise.