Real Estate Corner…

Q. I am retiring soon and my wife and I would like to “downsize” our residence so we can spend less time maintaining a home and more time traveling. We are thinking about purchasing a townhouse or condominium. What should we know before we buy?

 A. One of the main items to consider is the difference in property boundaries. The home you have now is a single family detached residence. You are the exclusive owner of the structure and the property it’s located on. The external property boundaries separate what belongs to you from your neighbors. If you choose to buy an attached dwelling such as a townhouse or condominium, you acquire exclusive ownership rights to the interior space of your particular unit. You also become a co-owner of common area grounds, fences, shared walls, and facilities (such as swimming pools) with other owners in the condo or townhouse development. As an owner, you will automatically become a member of a homeowner’s association that will require you to pay dues, usually on a monthly basis. These dues usually cover the cost of maintaining and insuring areas of common ownership. The cost and coverage varies from one development to the next, so be sure to find out before you buy. Planned Unit Developments are governed by Covenants, Conditions, and Restrictions (CC&R’s) that will restrict your ownership rights. For example, the CC&R’s may not allow pets in the complex. It is also common to have restrictions on parking, renting, and remodeling. Make sure you understand the content and limits of the CC&R’s. If necessary, have an attorney review them before any purchase in the complex. Is an over 50 community for you? What other Lifestyle enhancements (eg. social) are being offerred?

It is also wise to ask friends, family, and your realty professional for attorneys they trust. If you are in the market for a home and need a competent and caring Seniors Real Estate Specialist (SRES), please call me at 505-410-0724