While the idea of a condo may bring lavish lifestyles and expensive tastes to mind, the truth is that not all condos are luxurious, and in definition a condo is simply a private property within the confines of a complex. As such, you don’t have to be a millionaire to buy your own condo, and condos may even be more within your reach than standalone housing. But what exactly are the benefits of a condo, compared to renting an apartment or purchasing a standalone property?
Enjoy your own Slice of Heaven within a Safe Complex
It’s common knowledge that complexes are generally safer than individual homes, since there are many people who move in and out and can keep a vigilant eye on the property. Additionally, complexes often have extra security, which is also inexpensive since the cost is split between all complex members. However, complexes often only offer apartments, units or other forms of properties for lease.
This is why condos are a fantastic addition to the selection of property types, since you are able to purchase your own individual property within the confines of an apartment building or complex. As such, you can enjoy owning your own private property, while taking full advantage of many of the benefits that complexes offer. Additionally, condominiums are also less expensive than individual properties or houses, since you are only paying for the space within your area, and levies and complex rates that pay towards garden services, garbage collection and other features.
Great as a Starter Home or for a New Family
If you are deciding to move into your first home as an individual, or are seeking the ideal place to start your new family life, a condominium is a great choice. Within the security of a complex, your children can be more protected than they would be if they were playing outside in a residential neighbourhood. Additionally, many complexes come with amenities like pools or even gyms that are maintained by supervisors or staff, which all condo owners can utilize to enjoy healthy recreation or light gatherings with friends.
Some complexes also have other families with children, allowing your children to make friends and play with other children within the confines of the complex. This also promotes great relationships with neighbours, which is important for life within a complex environment. However, if you are moving your family into a condo, then you may want to check how strict the rules are, and whether it’s really an ideal complex for your children’s general behaviours.
A Condo can also be a Great Investment
There are also fantastic investment opportunities with condos, as you rightfully a piece of the property. And while it’s not allowed at all complexes, you may be able to rent your condo out for extra income. What makes condos the ideal choice for such an investment is that, due to ownership rights, you are allowed to make some modifications to the architecture and layout of the property.
Additionally, if you choose to live in the condo and rent it out over holiday seasons – which could even pay for your annual holiday if you plan it right – any luxuries and upgrades you purchase for the home are also investments that raise the price of the rent you charge. And as Renters Apartments agrees, you can afford to make your condo lavish, since any upgrades or additions to your property will allow you to rent it out for even more.
Furthermore, any upgrades that you and the other condo owners agree to make to the complex also raise the value of the property, while the expense is shared evenly amongst all of the owners. This means that you pay for a fraction of the cost of, for example, a community swimming pool, while being able to enjoy the full benefits – and charge more when you rent your property to others. This is why condos are generally highly sought after by investors, as they have fantastic potential for growing in value.
Potential Problems to Consider
Although condos are almost always a great choice when purchasing property, it’s important that you remember that there are also some downsides to the condo lifestyle. The following, with a few borrowed from MyFirstCondo, are some of the potential problems that are important to consider when purchasing a condo:
- Bad Neighbours: Neighbours may not always be as accommodating as you would hope, and some may throw loud, inconsiderate parties, may litter the hallways or even break rules like smoking in the unit below yours.
- Commitment to the Contract: in comparison to a rented apartment, you can’t simply move out after a month’s notice if you don’t enjoy your quality of life there. Instead, you have to try and resell your property – which can often end up causing unnecessary expenses due to transfer fees, taxes and other realtor expenses.
- Shared Amenities: While most people don’t mind swimming with strangers or sharing the lift with others, there are others who prefer to have their own amenities. As such, consider your own attitude towards shared amenities, and whether you will actually utilize them to the full extent.
- Dangerous Neighbours: Although this aspect isn’t as common as the others on this list, yours and your family’s security should always be first priority. As such, don’t be scared to ask to speak with a few of the residents to find out if there are any potentially dangerous or shady residents. The last thing you want is to have a dangerous person living within the same confines as your family, so don’t be scared to be thorough in this regard.
- Complex Rules: This aspect is particularly important if you have children, since they may not understand why the rules exist yet. And while the sound of kids playing can bring a smile to many people’s faces, some people regard it as noise pollution and it could certainly get you in trouble or cost you in fines from complex management.
Despite the above potential problems, however, there are also many great benefits to owning and living in a condo, although it is important to consider these aspects. This is because purchasing a condo is a long-term decision, and you can’t afford to make mistakes by rushing into such an investment. If you do, you may end up being stuck in a situation that you hate for up to five years before you can pay off the majority of the loan and resell the property. Therefore, ensure that the condo you are considering is ideal for your current situation, and whether every aspect of the condo and complex caters to your needs without compromising on your comfort.
If you are considering taking the next step in your life and purchasing your own property, consider a condominium from PropertyGuru Singapore. A condo is not only a fantastic option for starting a new family or new life in a new location, but can also be an excellent investment for your future. And while there are a few factors that you need to carefully consider before rushing in, there are a plethora of benefits that purchasing a standalone home or renting an apartment simply can’t offer.