Market Trends & Data
Market News & Data
General Info
Real Estate Strategies

Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal



Real Estate Classifieds
Reviews & Feedback
Updated 5 days ago on . Most recent reply

- Real Estate Broker
- Bellingham, WA
- 22
- Votes |
- 50
- Posts
Middle Housing: How Condominiumization Can Multiply Your Returns

How Condominiumization Can Multiply Your Returns
"Washington is in the midst of an affordable housing and homelessness crisis."
— Washington State Department of Commerce, 2024–2029 Homeless Housing Strategic Plan
With House Bill 1110 opening the door to build middle housing (like duplexes, triplexes, and fourplexes, townhomes, cottages, etc), many investors and homeowners are asking:
“How do I maximize the value of this opportunity?”
The answer?
Condominiumization.
Turning one parcel with multiple units into individually owned homes that can be sold separately — just like condos.
🧱 What Is Condominiumization?
Condominiumization is the process of:
-
Legally dividing a multi-unit property into individual ownership units
-
Creating a condo map and HOA structure
-
Selling each unit separately while retaining shared ownership of land or common areas
This isn’t new — but under Washington’s updated laws, it’s becoming far more relevant and profitable.
📈 Why This Strategy Works Now
Under House Bill 1110:
-
You can build middle housing on a single lot (up to 6 units in many cases)
-
But the resale value is limited if you can only sell the whole building to one buyer
Condominiumizing changes the game:
-
Sell each unit to individual buyers
-
Create affordable homeownership options for first-time buyers
-
Unlock maximum value from one project
Example:
A fourplex that might sell for $850K as a whole could instead sell for $325K x 4 = $1.3M
More profit. More opportunity. More flexibility.
🧭 Who This Strategy Is For
✅ Builders
✅ Investors
✅ Homeowners who want to build and sell off a portion of their lot
✅ Families who want to share land across generations
This strategy works beautifully for:
-
Urban infill lots
-
Corner parcels
-
Deep lots with alley access
-
Redevelopment opportunities in high-demand zones
📋 What You’ll Need to Do It
To condo a project, you’ll need:
-
A platting & condo attorney
-
Survey & site plan
-
A simple HOA agreement
-
Marketing that attracts owner-occupants or mission-aligned buyers
💥 The Impact
Condominiumization isn't just about making more money.
It's about:
-
Creating attainable ownership in a high-cost market
-
Supporting gentle density that fits the neighborhood
-
Helping Washington achieve its housing goals without high-rises or sprawl
- Tim Cornwell
- [email protected]
- (360) 223-0190
