Buying a first home can be challenging, especially in a competitive market like Florida. But, as has been the case for the past few decades, Florida’s population is ever-growing thanks to favorable weather, dozens of state attractions, and its tax-free status. Instead of looking at a single-family home, a condo might be your best bet to both save money and maintain a favorable way of living.
Before diving in headfirst, it’s important to understand the unique conditions of buying a condo versus buying a house. Read more to understand what exactly you’ll be purchasing.
Condos in Florida
Affordability is obviously the first thing any potential homebuyer considers when buying their first property. Affordability is a major advantage for condo buyers in Florida compared with single-family home buyers. Condos will have lower purchase prices than single-family homes, making down payments more affordable.
Another massive benefit of buying a condominium is maintenance. Your homeowner association fees will typically cover maintenance costs, a massive benefit in a state that consistently deals with heat, humidity, extreme rain, and the possibility of hurricane season every fall.
Finally, most condos are in pristine locations, especially in Florida. Many condos are downtown, near the local beach, or right next to local entertainment. These are perfect atmospheres for either you or your family in your first home, and houses around these areas are typically way out of someone’s budget.
HOA Fees and Rules Matter More Than You Think
Much like a gated community, condos have a homeowners’ association (HOA), and HOA fees are a significant part of their monthly costs. These fees cover essential aspects of your living, such as building insurance, maintenance, amenities, and more.
No matter where you live, you should always be attentive to your HOA reserves. Recent changes to Florida’s condo laws have increased reserve and inspection requirements. Many see these reserve changes as protections; however, they will come with higher HOA fees.
Make sure you also comply with your HOA rules. There are a ton of restrictions on what’s allowed in your condominium, including renting, leasing, or even sheltering pets. Make sure you understand these rules before realizing there’s potentially a problem.
Financing a Condo in Florida Can Be More Complex
Unlike financing a single-family home, financing for condos involves more due diligence. Several factors determine whether financing can be obtained, including both the buyer and the condo association. Loan approval can hinge on whether the condo association is facing litigation, whether its insurance coverage is inadequate, or whether its owner-occupancy ratio is too low, among other key factors.
Not all Florida condos can approve every type of loan. Some within the state do not use FHA or VA loans. Additionally, many condominium buildings in Florida require a higher down payment for your condo mortgage.
Condos as a Long-Term Option or Investment in Florida
Many see their first home, while an achievement, as a stepping stone. This thought process is especially common for condos and for the ability to rent or sell later. Especially in today’s housing market, don’t be afraid to view the condo that you want as your first home as also being a long-term option.
Lifestyle Considerations for Florida Condo Living
Be aware of the environment you’re setting yourself up for if you believe a condo is the right fit for your first-time home. Condos, like many apartments, have shared walls and excessive noise from constant shuffling, elevators, and community events. This passion can be a mixed blessing: it enables more social interaction but can also create distractions throughout the day.
Condos typically have perks as well. Pools, fitness centers, and increased security measures to make sure that only residents and guests can get into the building. Many condos in Florida have enhanced hurricane protection due to the increased frequency of storms. Make sure to weigh the pros and cons of this shared living space, including what it provides and potential noise levels.
Conclusion
Just like houses you see on the market, there are a variety of condominiums in Florida, all of which have their benefits and drawbacks. It’s vital to do your research about not only the building itself, but also the surrounding area.
Contact Lesley Holroyd today to see if a condo in Florida is the right avenue for your first home.
Whether you are a first-time buyer or looking to refinance, My Easy Mortgage, a reputable mortgage broker located at 2405 Creel Lane, STE 102, Wesley Chapel, FL 33544, and 16703 Early Riser Ave, Suite 266, Land O’Lakes, FL 34638, has a team of experienced professionals who can guide you through the process. Contact them at (813) 513-9846 to discuss your mortgage needs.