Are Condos a Good Rehab Real Estate Investment?

condoSome real estate investors wonder if condominiums are good rehab real estate investments.  While there are both pros and cons to investing in condos, as a financial institution, ReCasa Financial Group, we do not lend on condos.

Before investing in condo, please remember these points.

  • Each unit in a condo is required to pay monthly association fees. Investors will need to pay each month from purchase till it is sold/rented.
  • As an owner of the condo, the investor still needs to abide by the condo guidelines, which sometimes include rental restrictions.
  • Data reports that the value of condos decline more quickly than single family homes.

Condos may be good for people who want to purchase a property and rent it out to occupants, but on the rehab side, condos may not be the best option.

What are your thoughts on rehabbing condos?