5 Things You Need To Know Before Buying Your First Condo

Purchasing your first Park Grove condominium can be a very exciting and yet seem like a daunting task. Condominiums, usually abbreviated as condos are different from single-family homes. From the infrastructure, condos consist of separate units that all share one common superstructure.

Think of a condominium complex as a large multi-story office structure where the offices are single-family units. So all the condominiums share a single parcel of land. For luxury condos like Park Grove, it would be extremely expensive to purchase single-family units each with its own title of the land. The cost of land in exclusive areas is extremely high and would be a significant contributor to the cost of the building.

So in terms of land cost, condos basically have subsidized land costs by the fact that they share one large infrastructure it means that a lot of facilities are shared such as fitness centers, tennis courts, pools, and clubhouses.

Let us now proceed to look at five things you need to know before purchasing your first Park Grove condo.

Hire an experienced real estate agent

The purchasing process of a condominium is very different from that one of a single-family unit. So whether you have experience in the latter or not it is important that you seek the services of a real estate agent who has proven experience in transacting and closing on condominiums. Matters become even complex if it is a pre-construction condominium because the contracts have a lot of contingencies and terms that typically favor the developer at the expense of the future homeowner.

The condominium will also probably be run by the condominium owners association who will require that you sign a contract prior to the closing of your condominium contract. This contract will legally oblige you to adhere to the rules of the associations and to pay monthly condominium fees on time.

A real estate agent who is experienced in transacting and closing condominium sales will guide you through the sales agreement and the rules and regulations of the condominium owners association. Their duty also is to ensure that the sales agreement is not skewed towards the developer at your expense.

So your real estate agent will also explain the contingencies and how should plan for them in case it is a pre-construction condo.

Financing

The process of obtaining mortgage finance financing for Park Grove condo is different from that of a single housing unit. For example, to obtain an FHA mortgage loan your condo community must be in the approved community list. FHA rules also demand that 80% of the units in the building be owner-occupied which limits your options for renting out.

Always get pre-approval from your mortgage lender before you go out looking for a condominium purchase. Conventional mortgages have stricter terms for condominiums than single-family units with higher down payments.

The condo package

Before purchasing your Park Grove condominium have a checklist of the items you expect. It is easy to make assumptions that you will get a certain facility only to find that it is not included.

A tour of the building should educate you more on the communal facilities that are available. For some potential homeowners, they might be attracted to clubhouses, gyms, and luxury pools. The cost of this will be included in your condominium ownership association. If these facilities are not important to you it is important that you select a condominium complex that does not have them rather than paying for facilities will not use.

Also when looking for luxury condominiums like Park Grove you can inquire if the fees cover some of the utility costs because this might lead to monthly reductions in your monthly utility bills which is a benefit for you.

The Condo homeowners fees

For most condos like Park Grove, they will be run by communities which will manage the communal facilities. The association fees will be payable regularly so it is important to find out how regular it is whether it is monthly, quarterly, annually, etc. You should contact the condo community to furnish you with written documents of how much the fees are and what they’re used for.

Condo fees will impact the affordability of your condominium because they’re considered as an expense by your lender when calculating your debt-to-income ratio.

Life in condominiums is different

You should expect an adjustment if you’re moving from a single-family unit to a condo. You will be much closer to your neighbors and you will share a lot of facilities together.

The advantage of luxury condominiums like Park Grove is that there is central security provided and your neighbors also look out for each other. Condominiums are also ideal for people whose children have all grown up and left the home and therefore don’t need too much space. The Park Grove community will handle the maintenance of facilities and the lawns leaving you with a lot of free time.

So if you choose to purchase a condominium at Park Grove you can be sure you will not have any regrets. It is well run. The units are built to the highest level of quality and the amenities are world-class.