[Need_affordable_home]

I had asked this question in another thread but everyone is going off topic so im going to try again and start this thread. Please stay on topic and only discuss overpriced condos, nothing else. Thanks.

Condos are even more overpriced. They should cost 3/4th as much per living square feet as houses. But yet they cost the same! A few days ago I was driving past a huge billboard sign that said "new development condos for $229,000" Those condos are probably 2/2 maybe 3/2 and about 1200 living square feet. LOL you can get a bigger house with a backyard than those condos for just a few thousand more at a lower cost per living square foot!

Small 1/1 condos should be priced at $50k to $75k to be correctly priced. You can build 100 1/1 condos per acre of land for low rise and much more than that for high rise. Lets assume an acre of land costs $500k for condo developments, then this comes to only $5k of land per 1/1 condo. The construction costs should be $30k to $50k per 1/1 condo at a total cost of $3-5 million to build a complex of 100 condos. If I am wrong, let me know.

Larger 2/2 condos may be priced at $66k to $110k due to the increased space and the fact you cant build as many units per acre of land. I dont know if this is apples to apples but I have compared condos in Texas and you can easily get a 2/2 for $50k. I already know the land costs are much less but each condo only occupies a tiny fraction of an acre so not much saving there. Construction costs in Texas appear to be half to two thirds that of Florida. So the developers pay like $15k to $30k average each 1/1 condo and the land costs come out to $1,500 per condo. They are priced at $25k to $50k from what ive seen which is fair and gives them a big 50% plus profit over wholesale costs!

[SouthFloridaNative]

I agree. They are overpriced. I did see "vacation condos" in Moore Haven for $50,000. They are actually what was a tiny roadside motel on 27 that have been renovated. I think the price is very far fetched.

[Karla with a K]

Originally Posted by Need_affordable_home

I had asked this question in another thread but everyone is going off topic so im going to try again and start this thread. Please stay on topic and only discuss overpriced condos, nothing else. Thanks.

Condos are even more overpriced. They should cost 3/4th as much per living square feet as houses. But yet they cost the same! A few days ago I was driving past a huge billboard sign that said "new development condos for $229,000" Those condos are probably 2/2 maybe 3/2 and about 1200 living square feet. LOL you can get a bigger house with a backyard than those condos for just a few thousand more at a lower cost per living square foot!

Small 1/1 condos should be priced at $50k to $75k to be correctly priced. You can build 100 1/1 condos per acre of land for low rise and much more than that for high rise. Lets assume an acre of land costs $500k for condo developments, then this comes to only $5k of land per 1/1 condo. The construction costs should be $30k to $50k per 1/1 condo at a total cost of $3-5 million to build a complex of 100 condos. If I am wrong, let me know.

Larger 2/2 condos may be priced at $66k to $110k due to the increased space and the fact you cant build as many units per acre of land. I dont know if this is apples to apples but I have compared condos in Texas and you can easily get a 2/2 for $50k. I already know the land costs are much less but each condo only occupies a tiny fraction of an acre so not much saving there. Construction costs in Texas appear to be half to two thirds that of Florida. So the developers pay like $15k to $30k average each 1/1 condo and the land costs come out to $1,500 per condo. They are priced at $25k to $50k from what ive seen which is fair and gives them a big 50% plus profit over wholesale costs!

Do you know the "true" consturction costs to build a condo.
or are you just "pulling numbers out of the air"
I wish we had a builder on here that could tell us the difference in cost to build a condo vs a house.
hmm I bet there would be one on the "other topics forum" maybe I will start a thread there.
I would think that building a 5 or 6 story building would require a stronger "base" and supports than a single story home.
I know people that have added a room to their house and have paid anywhere from $15k to $20k.
When I was pricing enclosed sunrooms the prices were over $12k
A couple of apartments at the beach were converted to condos and the interiors were gutted and hardwood floors,granite counters and many other upgrades were added, these cost will have to be paid by someone.

[Need_affordable_home]

I googled the cost and also compared the costs in other states like Texas where $50k gets you a 2/2 condo just a few years old. If it costs $15k to build another room in the house then this gives me an idea of the costs for building a condo. Small 1/1 condos have only 3-4 rooms and studios have just one big open room plus bathroom. $150k for a 1/1 condo in south FL is absurd lol

[gypsychic]

Well, I don't know the cost to build but one thing I know is that supply and demand will determine the price of anything. If those condos are selling at $150,000, there must be enough people willing to pay. If they are going begging, the price should drop.

[RedWingsFan]

What they SHOULD cost is what people are willing to pay. If people are willing to pay $150k for a condo then that's what it should cost. In another state I sold a town house that was considered a condo for $203k after purchasing it 8 years earler for $98k. And that was actually cheaper housing and allowed people that would otherwise not be able to buy their own home a chance to do so.

I've never heard of a $50k condo, at least not in a decent area. I'd be afraid to see where it's at or what it looks like for that price.

[Karla with a K]

"$150k for a 1/1 condo in south FL is absurd lol"

$400+ for a pair of Versace jeans is also absurd but people buy them

gypsychic said it best "supply and demand"

it people are willing to pay these prices why would they say "hmm let me put it on the market for less or even for what it cost me to build them"
profit is a way of life
you buy a $15 candle do you really think it cost them $15 to make the candle? Maybe $2 if that
There is a 200 to 700% markup on jewerly
Same therory just on a different level.

[macguy]

Originally Posted by Need_affordable_home

I had asked this question in another thread but everyone is going off topic so im going to try again and start this thread. Please stay on topic and only discuss overpriced condos, nothing else. Thanks.

Condos are even more overpriced. They should cost 3/4th as much per living square feet as houses. But yet they cost the same! A few days ago I was driving past a huge billboard sign that said "new development condos for $229,000" Those condos are probably 2/2 maybe 3/2 and about 1200 living square feet. LOL you can get a bigger house with a backyard than those condos for just a few thousand more at a lower cost per living square foot!

Small 1/1 condos should be priced at $50k to $75k to be correctly priced. You can build 100 1/1 condos per acre of land for low rise and much more than that for high rise. Lets assume an acre of land costs $500k for condo developments, then this comes to only $5k of land per 1/1 condo. The construction costs should be $30k to $50k per 1/1 condo at a total cost of $3-5 million to build a complex of 100 condos. If I am wrong, let me know.

Larger 2/2 condos may be priced at $66k to $110k due to the increased space and the fact you cant build as many units per acre of land. I dont know if this is apples to apples but I have compared condos in Texas and you can easily get a 2/2 for $50k. I already know the land costs are much less but each condo only occupies a tiny fraction of an acre so not much saving there. Construction costs in Texas appear to be half to two thirds that of Florida. So the developers pay like $15k to $30k average each 1/1 condo and the land costs come out to $1,500 per condo. They are priced at $25k to $50k from what ive seen which is fair and gives them a big 50% plus profit over wholesale costs!

You are way,way off on your numbers but I agree, they are over priced for what they are.

[macguy]

Originally Posted by RedWingsFan

What they SHOULD cost is what people are willing to pay. If people are willing to pay $150k for a condo then that's what it should cost. In another state I sold a town house that was considered a condo for $203k after purchasing it 8 years earler for $98k. And that was actually cheaper housing and allowed people that would otherwise not be able to buy their own home a chance to do so.

I've never heard of a $50k condo, at least not in a decent area. I'd be afraid to see where it's at or what it looks like for that price.

Only 10 years ago in Fort Lauderdale $40,000 or $50,000 got you a small condo walking distance from the beach and they could not give them away.

[RedWingsFan]

Originally Posted by macguy

Only 10 years ago in Fort Lauderdale $40,000 or $50,000 got you a small condo walking distance from the beach and they could not give them away.

But all real estate was way cheaper 10 years ago. We are talking about now. The going rate is whatever people are willing to pay for it...