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(Updated January 2016)
Condominiums continue to be a popular option for first-time buyers and empty-nesters, particularly in urban areas. While buyers often choose condos for their convenience they also face a different set of issues that owners of houses do not—specifically condo boards and the rules governing the many aspects of condo living. This field guide offers articles and books that address the unique circumstances of condo owners. (R. Carlson, Information Specialist)
E - EBSCO articles available for NAR members only. Password can be found on the EBSCO Access Information page.
Condo vs. Co-ops
Before condominiums there were co-ops—short for cooperative housing project. While common in New York (80% of the market) co-ops are also found in most large cities. There are differences between the two, as shown below.
Ownership
Condo: title, same as a house
Co-op: own shares of a corporation
Property Taxes
Condo: unit owners taxed separately
Co-Op: typically lower taxes
Financing
Condo: same as a house
Co-op: few lenders willing to give a mortgage
Deductions at Tax Time
Condo: same as a house
Co-op: more complicated
Monthly Assessment
Condo: includes maintenance
Co-Op: includes maintenance, property taxes
Re-Sale
Condo: same as a house
Co-op: less costly; sale not recorded (no title)
Source: Condo or co-op? What's the difference?, (BankRate).
Condo Trends
Greater Boston condo sellers receiving 101.1% of asking price, (Boston Business Journal, Aug. 26, 2015).
Why Isn't the Condo Market Rebounding?, (Daily Real Estate News/REALTOR® Magazine, July 22, 2015).
Thousands of condos for NYC and San Francisco, (National Real Estate Investor, June 30, 2015).
Financing Barriers Stifle Condo Resurgence, (Daily Real Estate News/REALTOR® Magazine, Nov. 11, 2014).
'Bulk Sales' of Condos Clear Supply, at a Cost, (Wall Street Journal, July 6, 2010). E
Local condo market is heating up, says ECAR, (Emerald Coast Association of REALTORS®, Mar. 26, 2010).
Reaching out to condo buyers, (New York Times, Nov. 20, 2009).
'Ghost Towers' Spur Condo Backlash, (National Real Estate Investor, July 2009). E
Condo-Hotel
This used to be my playground, (The Source Weekly, July 1, 2015).
Exclusive: UK, Miami investors fashion $70M, 11-story condo hotel near SeaWorld, (Orlando Business Journal, Mar. 10, 2015).
NYC Developers Eye Condo-Hotel Concept Again, (Law 360, Nov. 13, 2014).
Condo-Hotels Return, (CIRE Magazine, Nov./Dec. 2014).
Really? Condo-hotels are back, (Hotel News Now, Aug. 2014).
In Florida, Return of the Condo-Hotel?, (The Wall Street Journal, Aug. 22, 2014).
Related Fund Management Grabs Fort Lauderdale Condo Hotel for $90M, (Commercial Property Executive, July 2014).
Homebuyers Avoiding Chores Fuel U.S. Condo-Hotel Revival, (Bloomberg, July 2014).
Selling Condo Hotels: A solution to the legal problems associated with condominium hotels, (Multi-Housing News, May 2014).
Investing in Condo Hotels: Time to Cash in on Condo Hotels, (Wealth Daily, May 2014).
Treatment of Condominium Hotels as Securities after Salameh, (Los Angeles Lawyer, Jan. 2014).
Condo Association Issues
Homeowner association liens pose perils for condo buyers, (Los Angeles Times, May 17, 2015).
Condo Owners Must Read Their Bylaws, (Realty Times, Mar. 9, 2015).
10 questions to ask your condo board, (REALTOR® Magazine, Handouts for Consumers)
Related Websites
Buying a condo using an FHA loan, (Department of Housing & Urban Development).
Community Associations Institute
FHA-approved condominiums, (Department of Housing & Urban Development)—Search by city.
FHA Condo approval process, (HUD).
Institute of Real Estate Management
Living in a housing cooperative, (National Association of Housing Cooperative)—FAQs.
Nationwide links to condominium laws, (CondoLawyers.com).
What Buyers Should Know about Multifamily Homes, (realtor.com®).
eBooks & Other Resources
eBooks.realtor.org
The following eBooks and digital audiobooks are available to NAR members:
Condo Owner's Answer Book (Kindle, Adobe PDF eBook)
How to Buy a Condominium or Townhouse (Adobe PDF eBook)
Make Money with Condominiums and Townhouses (Kindle, Adobe eReader)
Tips & Traps When Buying A Condo, Co-Op, or Townhouse (Adobe PDF eBook)
Books, Videos, Research Reports & More
The resources below are available for loan through Information Services. Up to three books, tapes, CDs and/or DVDs can be borrowed for 30 days from the Library for a nominal fee of $10. Call Information Services at 800-874-6500 for assistance.
Existing Home Sales: Condominiums and Coops, (Chicago, IL: National Association of REALTORS®).
Field Guides & More
These field guides and other resources in the Virtual Library may also be of interest:
Field Guide to Hotel/Motel Properties
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The inclusion of links on this field guide does not imply endorsement by the National Association of REALTORS®. NAR makes no representations about whether the content of any external sites which may be linked in this field guide complies with state or federal laws or regulations or with applicable NAR policies. These links are provided for your convenience only and you rely on them at your own risk.