Analyze my condo deal

4 Replies

Hello, 

I am pretty new here but I am not sure about this deal or not.

There's a condo on the market I am thinking about putting an offer on.

Here are the numbers: 

176K

680 sq ft

$184 HOA

1bdr 1 bath

It's tiny, but it will do for my gf and I. Total payment is $950 minus utilities and places like that rent for about $1400.

20% down.

we are thinking in moving away from this area in 2 years. 

is it a good idea or not? Can I at least break even after I leave?

What State? What did it previously sell for? What are other similar properties going for? Do you plan to sell once you leave or rent out? Please take into consideration condo fees can raise and as well as add on additional assessments. It seems a lot for a one bedroom but that is only my opinion since I’m not familiar with your market. I’m not sure also how difficult a one bedroom condo would be hard to sell later? How many days has your condo been on the market currently? These are things you should consider prior to purchasing. 

Thanks Nicole. It's in MD, close to DC, so prices are high. About 0.6 miles from metro station. I can't find anything close to that range around here. Sold for $133,000 in 2007. I think it would rent or sell fast because of the low price and because it's in such a good location (close to Supermarkets, Rockville town center, restaurants, etc)

I plan to rent it out once I leave. If it would cash flow at least $100 it would already be a win for me since I am a beginner. 

This condo has been on the market for 6 days, then it was just taken off the market. Any ideas why people would list and take it off the market after 6 days?

I plan to make an offer next week after I get pre-approved. I don't see that many deals like that popping up. The average sold price for a similar home here is $168,000

Originally posted by @Philip Zanello :

Thanks Nicole. It's in MD, close to DC, so prices are high. About 0.6 miles from metro station. I can't find anything close to that range around here. Sold for $133,000 in 2007. I think it would rent or sell fast because of the low price and because it's in such a good location (close to Supermarkets, Rockville town center, restaurants, etc)

I plan to rent it out once I leave. If it would cash flow at least $100 it would already be a win for me since I am a beginner. 

This condo has been on the market for 6 days, then it was just taken off the market. Any ideas why people would list and take it off the market after 6 days?

I plan to make an offer next week after I get pre-approved. I don't see that many deals like that popping up. The average sold price for a similar home here is $168,000

 Is this 501 Hungerford?

It is an MPDU. Moderatly Priced Dwelling Unit. So you need to be enrolled in that program and there are income restrictions. Additionally when it is sold, the County determines the sales price which will additionally essentially as cheap, and half of the small profit goes to the County. Also you can not rent out the unit. It can only be owner occupied.

Offers were due on it Friday at 6pm, so its kind of a moot point anyways.

@Philip Zanello there are numerous reasons a seller could take off market it’s not necessary a bad thing. Good luck with sale. Make sure you do research on what their policy is regarding having renters. Also what the condo covers, and how their reserves is.