All Forum Posts by: Sandeep Arneja

Hi, over time I am am planning on buying a totall of 5 condo units in a building which has a total 9 condo units. I currently own 3 units and have a pending offer on the 4th.

What are there advantages and disadvantages of owning majority number of condos in a building?

I would like to thank all of you, for taking the time out and advising me here. 

It has become abundantly clear to me that purchasing a condo without a COA is opening myself up to a lot of risk. I ended up not purchasing the condo and am back on my search for investment opportunities :)

Thanks
Sandeep

My understanding from the real estate agent is that the person to whom it affects it the most ends up doing it.

So since this unit is on the top flower, it's owner will end up doing all the roof work.

But there is not much of other common area besides the stairs and main entrance.

 What do you mean by COA?

Does the high ROI because of the high rent and no condo dues offset for additional issues? Your thoughts?

the common area is the: entrance door, stairs and roof.

No one is maintaining them. They are in bad shape.

The original owner, who converted to condominiums, never established the HOA. At least this is what I have learned from the Real estate agent.

Hello Everyone,

I am new to the world of real estate investing and would like to hear from experts on this condo opportunity in a 3 unit building I have in front of me. Here are the facts as I know them:

LP: 130K

Taxes: 4K / year

HOA: 0

Potential Rental Income after fix-up: 2K / month

Since the property has been foreclosed, it has:

1. no working heat. It has a separate heating unit in basement, which appeared to be off and very old.
2. no electricity. Probably cut-off by PSEG for non payment of bill
3. no appliances
4. Building has no condo association and therefore no insurance and HOA dues.
5. leak stains on the roof. No active leaking. Since no HOA, I will be responsive for the roof as this unit is on the top floor.

My main concern is that the building has no HOA and no insurance. How does that affect me as an investor and what steps should I take while approaching this opportunity.

Regards
Sandeep