Investment such as buying a condo can offer a good return if done in the right manner. However, as with any type of investment in pre-construction condos in North York or any other place is risky. Thus, for every beginner looking for investment, there are various factors to consider and questions to address, before jumping into any conclusion to invest or not in condos. In this article, we ought to help the rogue investors who want to spend money in purchasing condos or savvy investors willing to now try their luck in condos investment.
The important questions one needs to ask and inquire about:
Inquire About Lender’s Requirement: Investing in a luxurious condo like Azura condos in Toronto is a good source to generate residential income. However, before you consider the big investment it is recommended to inquire all about the lender’s requirement and guideline regarding the investment purchase. Ask them about the total down payments to be paid. Some lenders require 20 to 25% of down payment to be paid as an occupancy fee while some will also ask you to live in the unit initially for a year before lending it to anyone.
Period of Time You Want To Keep the Condo: Condos investments are generally a longer-term investment. They, unlike detached homes, do not profit you quickly and give higher return with time. So always plan to hold them for at least five years to gain the desired profit.
Does Building Currently Facing Litigation: The pre-construction condos in North York may sometime face some sort of litigation due to building defect. These make impossible for owners to obtain bank finance and also delay the completion of the building. Hence it is necessary to inquire about the unit’s ongoing litigation before buying.
What Is The Total Assessment Fee Of The Unit? The assessment fee is the total fee a condo buyer has to pay to homeowner association (HOA). These HOA fees cover everything including condo repairs and may sometime exceed the amount of previously set HOA amount. Every owner has to pay these fees and is not affordable for all. This is why it is recommended inquiring about the special assessment fees.
Wrap Up: So this is it, you now are well informed with important points you need to know to get started with investing in a condo. This guide will help you in the process of owning a condo and know what you need to ask before making a big investment.
Henry Smith is an expert author and has written so many articles on Azura condos Toronto, pre-construction condos in North York and Toronto Condos for Sale.