Spruce Grove Condo Mortgages
Buying a condo is possible with the same five percent down as you would if you were buying a house. You build equity over time instead of giving money away to your landlord. Let’s look at the pros and cons of the two main types of condos in Spruce Grove.
Conventional Condominiums
When you buy a conventional condo, you are paying for a smaller piece of a bigger building, instead of buying a whole single-family home. This can be more affordable and make home ownership possible for those who might not be able to afford a single-family home. You will also be able to build equity over time and eventually not have to pay a monthly mortgage payment, only monthly fees to maintain common areas. The condo association will take care of things like the roof, heating and air conditioning system, and public areas like a swimming pool or clubhouse. This can be seen as paying into a fund every month to cover future repairs and maintenance costs. Compared to apartment buildings, condos usually offer thicker walls and more amenities, like a laundry nook.
Bare Land Condos
When you buy a bare land condo, you own a piece of land, unlike a typical condo in a multi-story building. This can be a single-family house, a duplex, triplex, or a trailer home. The advantage of a bare land condo is that you have a more private yard compared to a small patio in a regular condo. The condo association owns the land and takes care of maintenance, which is usually done by a property management company. You pay monthly or yearly fees to the association, and they take care of things like the pool, playground, and lawns. Bare land condos are popular among retirees and busy people because you don’t have to worry about doing yard work or shoveling snow.
Factors to Consider Before Buying a Condominium
If you want to buy a condo in Spruce Grove, there are a few things to think about. Owning a condo can be cheaper than owning a house, but there are trade-offs to consider.
- Rules and Restrictions: When you buy a condo, you have to follow certain rules set by the condo association. This can include rules about noise, pets, and how your property should look. If you break the rules, you could get fined or even kicked out of the condo. But, these rules can also make the community quieter and safer.
- Mortgage Limitations: When you get a mortgage for a condo, the lender considers the fees you’ll have to pay for the condo association. This means that even if you qualify for a $350,000 mortgage, you may not be able to afford a $350,000 condo. Make sure to talk to a Spruce Grove mortgage broker to find out how much condo you can afford.
- Financial Health of the Condo Association: Before you buy a condo, it’s important to research the financial health of the condo association. If the association doesn’t have enough money for repairs, you could be responsible for paying a large bill. Look for a condo association with a good reserve fund and insurance coverage. Avoid a condo development with a history of lawsuits.
Remember, owning a condo has its pros and cons. Make sure to weigh your options and do your research before making a decision.