Considering a Condo? Figure the Association Fee in Your Pricing
If you have been pre-approved to buy an Oakland County MI home for X price as long as the property taxes don't exceed Y doesn't mean you can qualify for a mortgage for the same price condo. Condominiums in Oakland County MI tend to have a monthly association fee. If you qualify for a $1200/month house payment that $1200 needs to include the association fee. And they can be pretty hefty.
Now to the defense of condos- the price tends to reflect both the association fees and the perks (maintenance, etc the association takes care of) of condo living. But if you're qualified to buy a $150K house and having trouble finding what you like, don't think you can just go buy a $150K condo.
Tomorrow I will be showing a condo in Clarkston MI listed for $155,000 with an association fee of $261 per month. Looking at the listing photos and after reading the description it sounds like a very nice home. Probably nicer than a regular house in the same area. After factoring in the association fee your monthly payment would be about the equivalent of a $200,000 home with no association fee.
So if you are looking for a home in the North Oakland County area and are content with either a house or condo, please consider you will have a different price limit for the condo than for the house.
Jackie Hawley
Keller Williams Realty
Cell: (248)736-6407
Email: Jackie@JackieHawley.com
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