Condos Or Coops
If you're ready to move to South Florida and thinking of moving to the east side of Florida where there are so many condos and want to experience the beach lifestyle then make sure you read this article to the end. This article would also help you know the things available in the South Florida Market. I am Komal Acharya, a local real estate agent in the Florida area. When you are moving to South Florida, especially on a condo market, there's so many factors you need to consider. The main important factor is learning about the coops because condo and coops are completely different. When you take a glance at Zillow realtor.com It may not even say it is a coop or a Condo. The main areas where you can get beautiful condos on the east side and experience the Hollywood lifestyle. I am not talking about Hollywood California but the Hollywood beach lifestyle you can experience.
Difference between Condo and Coop
Talking about the condo and coops the major differences in a coop is that your land is leased and you have a partnership in a whole building not just that unit in a condo you are just the owner of that particular unit.
Financing of Condos or Coops
Another big difference is in the financing. If you are looking to finance a condo it’s not difficult to get even 5%. Also you can finance if the HOA has a reserve but if they do not have a result then the maximum is around 20%.
If you’re buying for yourself the investment property then it is 25% so it’s not difficult to buy a condo. That’s why the condo prices are usually higher than co-op prices because condo financing is pretty easy.
You will get the bank private lenders, most people will finance condos so you don’t have to have cash showing you have a lot of leverage to buy a condo.
That’s why the condo market is this higher than the Coop market even though it looks almost similar but the financing is the biggest issue and that’s the functional difference.
HOA Prices on Condos or Coops
I’ll talk about the HOA homeowners associations so normally in coops associations prices are low while for condo it’s a little bit competitive level or higher.
The reason is because the associations work very closely in a coop. I feel the rules and regulations concerning coops are much better because it’s kind of the model in the backend.
Rental Restriction on Condos or Coops
Coops don’t bother too much with rentals. But they do want to maintain the culture there. They don’t want every property to be bought by the investor. So there is always a one year or two years ownership there.
Property Tax on Condos OR Coops
And point is the property tax wise, the coops are a little bit lower than the condo. Even though it’s in the same locations.
If you check on the map, it’s very close to the beach, you can just walk through it. But the taxes will be much different than some of the buildings which are the actual condos and compared to the coops.
Summary: Condos or Coops
I believe that I have been able to give you detailed functional differences you should know if you buy a condo or Coop.
It’s still definitely important that you do a deeper research, if you are looking to buy something.
We have a team here so if you are one of those who are looking to move maybe this year or next year and you just want some more information, feel free to contact us.