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Learning, Sharing, and Teaching => Ask a Mustachian => Topic started by: Dmy0013 on October 21, 2014, 05:26:14 PM

Title: Did I make a poor choice with the purchase of my condo?
Post by: Dmy0013 on October 21, 2014, 05:26:14 PM

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Title: Re: Did I make a poor choice with the purchase of my condo?
Post by: mozar on October 21, 2014, 07:45:42 PM

Condo's don't appreciate as much as single family homes. I don't know why though.

Title: Re: Did I make a poor choice with the purchase of my condo?
Post by: GizmoTX on October 21, 2014, 08:32:03 PM

Enjoy your condo. Housing is an expense & does not necessarily appreciate.

Title: Re: Did I make a poor choice with the purchase of my condo?
Post by: Chuck on October 21, 2014, 08:52:37 PM

Condos don't appreciate as quickly because of condo fees that add a permanent and highly visible expense to ownership. This deters are great many people, pushing down demand- even in desireable areas such as yours.

Wait for the commerical area to open up and get humming (1-2 years) before you sell at a loss. Then, if you see the opportunity to get out even slightly "ahead," I would take it.

Alternatively, you could enjoy your reasonably affordable housing in your nice urban area. But remove all notions from your head that his condo is an investment, because it really isn't. 

Title: Re: Did I make a poor choice with the purchase of my condo?
Post by: jennifers on October 22, 2014, 06:59:07 AM

I'm in a similar situation.  Are you looking to sell soon? Is it feasible to rent out your condo instead of selling it?
I'm not sure how real estate transactions work in Canada, but maybe you can save money by selling the condo yourself in lieu of a using a real estate agent.

Title: Re: Did I make a poor choice with the purchase of my condo?
Post by: Melody on October 23, 2014, 05:31:23 PM

You mentioned gst so I am guessing you are from australia and new zealand. You also mentioned breaking ground so it indicates a new (not super central) area. I am not sure if australians are ready for this concept yet. People tend to either want a condo in an established area close to work, cafe strips etc, or a single family home in the burbs. But I think this will change over the long run as people see the benefits of apartment living and less people choose to have kids. Unfortunately long run may be more than 1 to 2 years. is it possible to make the condo into a rental?

Title: Re: Did I make a poor choice with the purchase of my condo?
Post by: mozar on October 23, 2014, 06:15:09 PM

You're in Canada! People have been speculating about the condo real estate bubble bursting for years...but that may only apply to Toronto.

Title: Re: Did I make a poor choice with the purchase of my condo?
Post by: daverobev on October 24, 2014, 08:44:42 AM

My gut feeling is... sell it as soon as you can.

You're half-renting, because of the fees. You might get crazy unknown condo maintenance fees if the building is not good (see: news reports of glass falling out of balxonies, etc, in TO).

You don't own the land. IMHO - and it is just that - you're better off renting (and investing), or buying outright.