I am in Houston and am considering a appartment unit to buy. It is around $90K and comes with HOA fees of $900/mo. I called the main office and they do not have leasing office and I am responsible of leasing and managing.
The HOA covers electric, pool, general maintenance, flood, and I guess general insurance.
since its first time, what would I need to consider? Is leasing difficult if there is no leasing office? Are their surprise charges I need to be aware of? And will HOA cover property taxes or I need to pay seperate?
Here are high level numbers:
Investment- $90K
HOA : $900/Mo
SF 1100 SF
Approx Rent: $1200-$1500
I am trying to find out what cost, expense I need to account for. What surprises should I be aware and how difficult is it to lease and maintain.
Los Angeles · Member since 2024 · 23 posts · 7 votes
9mo
So, basically the price is very low for a purchase, Great but i do not know your market...However, if HOA fees are $900 / mth and average rent is $1350 / mth ,you will be losing money every month after you factor in all your additional costs such as insurance, repairs, 7-10% vacancy rate and so on. Take your money and invest in an S&P fund or even a money market that earns you 4-5% in a money Market and higher in a good S&P fund. Pretty simple math in my opinion or find another investment property that at the very least earns you a couple % every month, as condos do not appreciate like houses.