What if I Buy A Condo-Hotel?
This is frequently asked question. While buyers have the general understanding of things when they are buying a condo, the hotel part confuses people a lot. These questions are real questins asked by real people. The questions below came today in two e-mails about oceanfront Fountain Beach Resort in Daytona Beach, a 149-room hotel converted to condo-hotel in 1998-1999.
- I see there is a maintenance fee of $350, but is that monthly?
Yes, this is monthly. And $350 a month for a condo-hotel unit is about average. Maintenance fee varies from $255 to $450 a month.
The difference between residential (apartment) condominium and condo-hotel is that in Daytona condo-hotels maintenance covers not only water, but all utilities, including local telephone calls, Internet (Wi-Fi), plus the usual stuff like upkeep of the property, master insurance, security, pool maintenance, trash removal... In residential condos your electricity, telephone and internet are not included.
- If I do purchase one, what would I have to do for the upkeep and would the resort take care of minimal things while I am not there?
It depends. If you are on rental program, then there is maid service, units are cleaned and taken care every day there are guests there, and if something needs to be fixed, the rental management company would take care of it.
If you are not on the rental, nobody would enter your room. They will keep up with maintaining the building, however, so it does not matter whether you are on rental program or not.
- Is there difference in taxes?
No, taxes are based on values, and in that sense there would be no difference between how condos or condo-hotels are assessed. If the value is higher, the taxes are higher. And while for specific amount you need to check with the County Property Appraiser (or call me). Usually it is about 2.5-2.6% of what you pay for the unit, but this is far from being exact.
Call me 386-405-4408 for more answers about condo-hotels and condos in Daytona Beach Area, and to schedule a showings.