For Buyers: The Choice - Single Family or Condominium ... in Ocean City, New Jersey
I don't know how many times I have asked the first two questions to buyers ... what kind of property are you looking for and how much do you want to pay ... and only to hear so many similar answers: we're not sure what to buy, and we haven't really determined how much to spend.
So we find the first two important questions regarding the purchase of a shore house, either a second home or rental property, not really being thought out as much as it should be. And when I do receive good answers, I've always amazed how easy it can be with just a bit more planning on the part of the buyer. In fact, I often propose an "orientation program" including a tour of the island, my personal review of sale properties and locations, and just a get-acquainted aspect to Ocean City (NJ).
Often when they determine their price: "how much is too much," buyers have already answer the property category question as well. But there are often two more questions to raise: location is a critical one: where do you want to buy on the island? And finally, do you want to rent?
The rental question often determines the location question too. And we have a final question that can be a big one: do you have any buider skills or friends with same who might help you fix up a particular property?
Let's focus on the two property categories: there are almost four times as many condominiums as single family sale properties. And the price range for condominiums is wide open due to the number of efficiencies, 1BR, and 2BR at the low end plus the 3BR, 4BR, and 5BR at the high end. Generally, condos offer the buyer a relatively new or renovated property with very little initial maintenance. The varied locations for condominiums make them very geared to buyers interested in renting. But one of the critical points that must be considered is that you don't want to overspend for a condo ... because that has been the property category not holding its own as well during the past three or four years. But on the positive side: you can now purchase at the low end of the scale.
And now: single family sale properties. There are several main locations for singles: the Gardens, the Rivera, and the Bay Area, and Ocean City homes ... with isolated properties throughout Ocean City. The most important as pect to remember is that "land value" is critical in looking at single families in particular, but also condos. Another critical point to keep in mind ... single family properties usually require some type of renovation or work after purchase. Finally, the seller of a single family in general is much less under the gun to sell as opposed to the condominium seller who has much more competition and motivated sellers around him or her. And single family properties have tended to hold their market value much better than the overall condominium market during that same 2006 through 2010 time frame.
That represents a fairly quick, but hopefully accurate review of the two condominium types. Much more to say, but not with this posting. For additional questions or follow-up, contact me at 888-215-9935 or Dustin@BeachNotes.net dap