Buying a Condo/Townhome in full to rent out
I'm looking to buy a condo or townhome outright and then renting it out sometime in the future. How does everyone feel about paying HOA ($300-$400/ month) for their rental?
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HOA dues can definitely eat into cash flow, so it really comes down to what you're getting in return. If the HOA covers things like exterior maintenance, roof, landscaping, sometimes even water/sewer, that can offset costs and make management easier. On the flip side, HOAs can raise fees or impose rental restrictions, so it's important to read the bylaws and look at their financials. Personally, I wouldn't rule out a condo/townhome, but I'd make sure the numbers still cash flow after HOA and that the rules won't impact my exit strategy.