Condo info (Colorado Springs: for sale, real estate, foreclosures)

[1duder]

Well I guess I might send my son out to CS and see how that goes. My wife is still not wanting to move.
So with that I am thinking to buy a condo for my son to stay in and we can use it as a base if we move out there.

I see some places are price reasonable to me. However I don't know much about the HOA fees.
Can anyone post what they have heard the fees are and what they cover. I looked and found one saying $290 and looked like it covered utilities, lawn and I think I seen Insurance. Not sure what kind of insurance.

Thanks

[beezle1]

Condo or townhome HOA fees normally run 150-250 a month, some a little higher. What they cover can vary from one place to another, so always find out what is covered before you decide on a place. And if you have pets, make sure to find out what their rules are regarding pets as that varies as well. Most HOA fees will not cover all your utilities, but often cover trash fees. They nearly always cover HOA management fees, exterior maintenance and landscaping maintenance, and snow removal. The insurance they are talking about is for the building so for most condos, you would need something along the lines of renters insurance to cover your belongings. For townhomes, the insurance covers only the exterior of the building, and you would cover the walls and things inside your unit with your own insurance. It is said that with condos, you own the 'air' within your unit, and with townhomes you own the walls and everything else within your unit. Do check with an insurance agent about this though as they would know better than I. Things vary from one place to another so be sure to find out the details once you find a place your are interested in. Ask to see the 'covenants' which is the book of rules etc about the complex.

[1duder]

Thanks for the info Beezle1. I never looked at anything that contain HOA. So now that I am looking at a condo I am behind the curve.
Thanks again

[1duder]

I seen, I think it was Trulia they listed a bunch of Foreclosures. Thats where you might be able to get a good deal. In Florida the banks list them with real estate companies. In Colorado Springs it looks like you have to go to the bank in person. Thats too bad, lots of missed opportunities.

[Carrera32]

I think that sometimes we get wrapped around the axle with real estate terminology. As I understand it, "condo" reflects the type of ownership (i.e., the "air" within your unit, as Beezle indicated). My understanding of "townhome" is that it's the style of the architecture (i.e., a narrow two or three story dwelling, usually, but not always attached; I once owned a freestanding historic townhome in Alexandria, VA. I owned the entire building and the ground beneath and around it, but it was clearly a townhome). Townhome ownership can be of any kind (i.e., fee simple, condo, or co-op). Beezle, help me out here, but I believe the type of townhome ownership may be any of the three types. Fee simple is ownership of the structure itself and at least the ground beneath the structure, and depending on the development, possibly a small front and backyard; co-op is all property in the development or building owned in common governed by an elected board; and, as noted above, condo is the air between the walls, with everything else owned in common, with the common areas governed by a board. Any of these types of ownership may involve HOAs and fees, but, by necessity, attached dwellings with common areas (easements, clubhouses, pools, greenbelts, etc.) will have HOAs with more rules and higher fees. Single family and townhome developments without the additional amenities and facilities owned in common will have less expensive HOA fees as a rule, but the covenants may be just as restrictive as condo HOAs (e.g., exterior paint colors, required landscaping and lawn maintenance, additions subject to architectural review., etc.).

Over the years, I've lived in various communities with HOAs and/or neighborhood associations or other types of restrictions (i.e., historic designations with concurrent architectural review requirements for exterior modifications). In one I had a very bad experience and for that reason I now avoid restrictive HOAs with a vengeance. Far too many overactive egos involved in HOA boards for me. I currently live in the Old North End Neighborhood. Our neighborhood association is voluntary and has no restrictions (however, if you live in the historic district boundaries, you are subject to architectural review). All monies collected through voluntary dues, donations and neighborhood fund raisers go back to the neighborhood (e.g, the Old North End stone sign on Nevada; free sapling trees for planting in the neighborhood, etc.). That's about as much HOA as I want to see again. With condo ownership, however, it's a different game, since virtually everything is owned in common. Anyone buying a condo should carefully read the covenants and other HOA documents before buying. Also, check on the history of any special assessments and any planned for the future. For instance, condo fees may not be sufficient to place significant maintenance funds in reserve, so when the condo needs a new roof for instance, there'll be a special assessment and that can be a significant shock to the system (e.g, thousands of dollars for each resident). When it comes to condo fees and HOAs, it's clearly "buyer beware."

[1duder]

Hum, Maybe I will just switch back to rent until we can get moved then. I guess renting will be more flexible in a way. Just thought the idea of a condo would be nice few a few reasons.
I know I instinctively avoid anything that says HOA, but figured it might be good for a condo's.

Thanks for that post. Way more to mull over than I thought.

[phetaroi]

Originally Posted by beezle1

Condo or townhome HOA fees normally run 150-250 a month, some a little higher. What they cover can vary from one place to another, so always find out what is covered before you decide on a place. And if you have pets, make sure to find out what their rules are regarding pets as that varies as well. Most HOA fees will not cover all your utilities, but often cover trash fees. They nearly always cover HOA management fees, exterior maintenance and landscaping maintenance, and snow removal. The insurance they are talking about is for the building so for most condos, you would need something along the lines of renters insurance to cover your belongings. For townhomes, the insurance covers only the exterior of the building, and you would cover the walls and things inside your unit with your own insurance. It is said that with condos, you own the 'air' within your unit, and with townhomes you own the walls and everything else within your unit. Do check with an insurance agent about this though as they would know better than I. Things vary from one place to another so be sure to find out the details once you find a place your are interested in. Ask to see the 'covenants' which is the book of rules etc about the complex.

Yes, I was so surprised at how it works here in Colorado. Back in Virginia, it may have been a townhome, but you owned it lock, stock, and barrel, and were responsible for its maintenance (including painting, roof, etc.). You insured it all yourself.

[1duder]

The HOA may get some kind of bulk discount, say they insure the whole building, that is probably much cheaper than each person insuring there little section. So they could possibly make a little money off of that. In the end your cost would be about the same as buying it yourself. Just a guess.

[1duder]

I'm still going back and forth over this. I am thinking at the moment Condo may be the best for us. I see some that are very cheap, in the 40's. Probably won't buy until January my guess. I am a little worried about some of the older units I see for sale. Buy one then move in and find out you now have to fix the roof and some other things. Like they were waiting for a new owner before they start work.
Thanks everyone!

[Carrera32]

1duder: Remember, in a condo, you only own the air inside your unit. Your condo association will be responsible for fixing the roof. If the HOA fees have sufficient reserves to cover such large maintenance items, then it shouldn't cost you anything. However, and it's a big however, if there are insufficient reserves, you and your other other condo owners will be hit with a special assessment to pay for that roof, above and beyond your regular HOA fees. If the entire complex or building looks run down and not maintained, then that's a pretty good indicator you should walk away. If it's clear the complex is well maintained (e.g., landscaped, regularly painted exterior, etc., and the HOA bank account has a healthy reserve to account for the eventual and inevitable big ticket items like roofs and central heating systems, etc.) you should be ok. Make sure you read the covenants and other HOA rules very carefully before committing.