My wife and I have been living in a apartment style condo for the last 5 years - We purchased the condo for 267,000 and a 5,000 tax rebate was also given back to the builder so I have always valued the condo at 272,000. We love the condo, we love the area, we are the top floor corner unit, all of our windows / deck look out onto small heritage parks. The Parks are protected land and can not be developed on.
My wife and I are expecting our first child in less then 4 weeks now, and we have ran out of space. although it is managable to live here with a baby, we are ready to just move and purchase a traditional style home.
I have some friends down the street who bought a house at the same time I bought my condo - they just sold their house making about 130,000 profit - they did put about 30,000 into finishing the basement, but none the less there house value has gone up significantly.
My condo on the other hand has not gone up at all. Today I looked on KIJIJI (not sure if you have that in the US? Same idea as Craigslist) and I saw 8 units for sale (131 units on grounds) the bulk of the units were asking what they paid and some were even asking 10 - 15,000 less then they paid.
As far as competing with the other units I have the second most expensive unit in the complex with the most expensive suite style (4 different layouts in building)
I have some concerns that when I try to sell, I will be the most expensive unit in the complex however I also have the nicest with the best views so that might work it self out.
I guess my question is do I sell and take a loss if need be? This would allow my wife and I to purchase a home, the losses from the condo would probably be offset by the appreciation of my home in the first few years... Now I understand there is no guarantee my home value rises.
I have run the numbers of using the condo as a rental, I would have a negative of about 300-400 a month. So its not a good rental
Do I suck it up and stay put?
The thing that concerns me about staying put is there is another condo project that is starting in fall, and it will contain another 130 units 2 blocks from my building. Similar building style, similar suite styles.
Im not a real estate expert but I assume a new condo project 2 blocks from me is only going to hurt the value of my suite.
Thanks in advance