Condo conversion that never fully convert.

[Stone Jin]

Hi all,

I'm looking to see what your thoughts are on condo conversions that never fully sell out. The complex is then managed as rentals and for sale. I'm looking at REO of individual units within larger complexes. Are there any pros and cons to purchasing these? Competition against the management company on rentals? Are the HOA fees fair since a portion of units are still owned by the management company? This is in the PHX market and I'm seeing a lot of properties that fall in this scenerio.

Thanks

Stone