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Old 07-28-2009, 11:46 AM
wincrasher wincrasher is offline
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Sounds like a situation where you really need to do your homework.

Buying condos you need to get some info about the whole building/complex. There could be looming costs if the whole development needs work or if many of the units have been foreclosed - could be nobody has been paying thier HOA fees. What happens if the condo association goes belly up?

Also, bank financing of condo units have alot more conditions than they used to - some banks won't finance if a certain number of the units are vacant or foreclosed. Or if they are rentals. Some buildings prohibit rentals entirely. If they go for the prices you are posting, then financing may not be an issue, but if you know the conditions for financing, it may give you some clues as to what to look out for.

Lastly, keep in mind that these prices are severely depressed for a reason - either condition or the state of the community's economy. If a house in decent condition is selling for <$20k, don't you think that the rents will be similarly depressed? If people have no jobs or are running from the community, who are you going to rent to?
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