HELP me.... what am I getting into??

[fordgrl00]

OK, so I have unexpectedly found myself looking at houses. I wanted to wait until closer to summer to save more money. Well, that did not happen because I found a very nice place for a first time home. It will be something I could grow into instead of out of. Provided all continues to go through they estimate closing will be in late Feb. Holy crap, I am scared, nervous, excited all at the same time. Its a condo so there will be HOA dues. I plan to get an inspection of course also beforehand. I would like to ask you guys for anything additional I may need to ask (even if I have heard it already) or be sure of. I want to have as much information as I can get. Thanks!

Thankfully we won the game last night, I missed most of it because the realtor called and then I had to speak with my mom.

[bjornolf]

Hey, congrats! Don't worry about HOA fees. 90% of places you live have them these days. How much are they and what do they include is the important thing?

Smart to get an inspection.

Just an FYI reminder. With a condo, you basically "own" the air between the walls. The condo association as a whole or, in some cases, a company, "owns" the walls and the building. That's usually just semantics, but there are rare occasions where that's important.

What kind of condo is it? Is it basically an apartment that you buy, or is it more like a townhouse situation?

[CathyCA]

You need to get yourself a good lawyer.

Preferably a hot, single one who went to Duke, but then maybe I am projecting too much. . .

[CameronBornAndBred]

Make sure you have nice paintings on the walls.

[Very Duke Blue]

Be sure to "shop" for home owners insurance. You should be able to save some money by bundling your car with your condo. Good luck.

[devildeac]

That's great. We just went through this with our daughter last year so hopefully we'll have some good ideas over the next week or so. Back to work now and then OOT for the weekend. More later.

Cathy, lawyer, single.
CB&B, paintings.

[OZZIE4DUKE]

Congrats on your pending purchase! With Cathy, AD, DD's daughter and others here on the board, you have lots of (recent) experience to draw upon for advice. If anything comes up that I want to chime in on, you can be sure that I will ;) Good luck!

[indoor66]

1. Find a good property lawyer familiar with the area to represent you and to answer your questions.

2. Look at the Condo Documents to be sure there are not any requirements or limitations that are unpalatable to you and your desired lifestyle. After you own it is usually too late or too expensive to deal with them. (pets, decoration limitations, antenna limitations, parking restrictions, noise limits - loudness and timing, insurance requirements, rental limitations, etc.)

3. Insurance on a condo is very similar to renters insurance. It is a good idea to bundle it with your car insurance as you will get the best rate that way.

4. You do purchase cubic feet with a condominium. The floors, ceilings, load bearing walls and external walls are common elements - maintained by the Association. You get to clean the interior and paint and decorate. Usually you cannot do anything to the outside. You also cannot do anything to the inside that will directly infringe on other owner's enjoyment or that might cause damage or injury to the common areas.

5. Be sure you understand the Monthly Maintenance Assessment situation. Also, your attorney should review the annual budget and, as important, the reserves in place for high dollar maintenance - Exterior painting, roof replacement, parking area maintenance and paving, recreation amenities repair and maintenance, etc.

6. Another concern is how the Condominium is administered. Is there professional management that looks after the regular maintenance and landscaping or is it done by the Board of Directors. If the Board, is there a group of "condo commandos" who revel in their importance and power? Are they jerks

Just be prudent. As an owner you are responsible for the whole as well as your unit. Ask questions and demand answers. An experienced local attorney may well know many of the answers. Also your realtor is a source for information or can be asked to find answers for you.

Good luck. Ownership is a wise move if prudently pursued.

[OZZIE4DUKE]

One thing to look at on the HOA, find out if there are condo owners in default on their units and not paying the HOA dues or just delinquent in paying their dues from the last couple of years. This is a big problem at my mom's condo in South Florida, but that is South Florida. In 2010 she got hit with a $400 assessment to make up for 2009 delinquencies of others on top of a sizable monthly increase in dues. This year there was "just" a $15/month increase in dues.

[captmojo]

I'm of no help.
??? Don't be. I know nothing of condos.

Just offering congratulations on getting your first place and wishing you good luck. I am confident you'll find answers to all your questions here.

[ArkieDukie]

Congratulations! I went through this almost 2 years ago. The biggest piece of advice I can give is to avoid Bank of America like the plague. They tried to back out of my loan the day before closing; we found out AT closing that my loan was approved - all thanks to my realtor. She went up the food chain at B of A "until she found someone with a brain." Their reason was that the condo association didn't have a certain dollar amount in reserve for repairs. This touches upon an issue that Ozzie mentioned: loans for condos are more difficult to obtain than loans for houses because of the number of condos that are in foreclosure. Many end up there because people don't pay their dues. As a result, there are more hoops if you're buying a condo. Banks were changing loan requirements for condo purchase daily when I was going through the process. The advice that you've been given regarding the condo association budget et al. is very good. Don't mean to scare you - wouldn't trade the condo for anything! You won't be sorry!

[fordgrl00]

Y'all have touched on exactly what my primary concern is but I was not sure what to ask. I really want to make sure the HOA is run by a good management company. So far it sounds as if they cover what most communities cover. I will give her a call tomorrow with some of these questions. I also am thinking it would be a good idea to speak with neighbors also for their input. The main reason I am going with a condo is because I hate yardwork and in a way paying the monthly fees kinda spreads it out versus if the roof was to leak it their problem to fix. I will only be responsible for what is from wall to wall. It is pretty much move in ready. Of course my list of things I would want to do is getting longer by the day! But it will take time, it will be fun to throw effort in a project and have friends help.

Thanks for your input, if you think of keep chiming in!

[Very Duke Blue]

And you will have room for your very own Duke tree!!!!

[DukieInKansas]

Also, find out what the deductible is on the condo association's insurance. You may be responsible for a portion of that - so you agent should know the deductible to take into account when writing your policy. I changed my policy when the condo's deductible went up to $15K.

When you talk to the neighbors, also see how frequently they have increased their HOAs & how much - just for reference for budgeting purposes in the future.

[EarlJam]

OK, so I have unexpectedly found myself looking at houses. I wanted to wait until closer to summer to save more money. Well, that did not happen because I found a very nice place for a first time home. It will be something I could grow into instead of out of. Provided all continues to go through they estimate closing will be in late Feb. Holy crap, I am scared, nervous, excited all at the same time. Its a condo so there will be HOA dues. I plan to get an inspection of course also beforehand. I would like to ask you guys for anything additional I may need to ask (even if I have heard it already) or be sure of. I want to have as much information as I can get. Thanks!

Thankfully we won the game last night, I missed most of it because the realtor called and then I had to speak with my mom.

Sounds like you are getting yourself into a nice house! Congratulations!

You'll definitely want to make certain that it has a sink. Also, windows. And make damned sure it's not haunted....or if it IS haunted, make sure the ghost is friendly, and not a UNC fan. That would be horrible.

Seriously, good luck! This is very exciting!

-EarlJam