#1. What is a condominiums
A condominium (often refered to as a condo) is a type of ownership, a towhouse is the style of condominium it is. Condominum should be considered a way of life. In a condominium you are buying an individual unit and the land is owned in common with the other unit owners. in most condominiums exterior maintenance is completed for you such as lawn care, snow removal and some have amenities like a pool, clubhouse or tennis courts.
#2. What Styles of condominiums are there?
There are several style of condominiums that are called different names in different parts of the country. I will go over the common terms here in New England.
Townhouse: Uually 2 stories and sometimes more, it has an upstairs and a downstairs
Garden Style. Usually in a building with a common hallway, your entrance is from these interior hallways.
Condex: Usually a duplex (2 units) that were turned into condominiums and sold individually. The 2 units can be their own association.
In other parts of the country you can have a flat, a rowhome, a co-op, con-tel or other styles
#3. What is a condo Associaton?
Condominiums, no matter if there are 2 units, 200 or 2000 units, in order to become a condo the person, builder or developer had to apply for and furnish a set of condominium docs, rules and regualtions to the state to be approved as a condominium.
No matter the size, the condomium complex should have an association. The larger ones are usually professionally managed and the management compnay works woth the board, made up of home owners of that condo complex.
For smaller complexes and most often In the case of condexes each side may take care of itself, they cut their half of the grass, shovel their own dirveway and sidewalk and paint the trim on their half. The problem is there should be an insurance policy on the building as a whole in the name of the association, usually in a condex it is split 50/50 and paid in full when do. The problem lays with what if the property needs a roof, that is great there is no monthly payments however long term maintenance needs to be considered, unless you have a large balance in your checkbook to pay half the cost of the roof when that comes up.
#4. CONDOS AND THE ABILITY TO GET A MORTGAGE
In todays day and age, the majority or mortgages buyers are obtaining to buy condominiums are FHA loans. The condo complex must be FHA aprroved. If not there are no more spot approvals which means the whole condo complex must be approved and meet fha guidelines.
With condexes, where it is is a condo, it does need to be fha approved. Where the assoication is only the 2 owners. the 2 current owners should be able to fill out that condo questionaire if it is approved. The problem is there are no more spot approvals with fha, so your loan officer will need to help you get these units association fha approved. The owner should help as well as it will help them sell, the owner not selling should help becuase it brings up the value of their condo.
#5. Is a condominium right for you?
In conclusion a condominium should be looked at as a way of life, it is an affordable alternative to a single family where the majoity of the maintenace is completed for you if you can not or do not want to complete it anymore.
I always recomend driving through a complex, look and listen... Is it neat, clean, are the common area's maintained and what do you hear? Is it quiet? Is it loud? What are you looking for. You should make sure you like the complex/neighborhood before choosing an individual unit.
Here in New Hampshire we are blessed with several different types of condominium communities, some may be small, some may be large, they are located in the city and in the country and all offer something different. if you are thinking a condominium may be right for you, please feel free to contact me.
Updated Jan. 18, 2011
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