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Old 04-18-2015, 01:20 AM
 
1,872 posts, read 2,816,953 times
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Quote:
Originally Posted by Phxspartan View Post
Yes, I have more than that to survive on. Good call on the ticket as a "just in case".
Don't forget to have enough money set aside to get you re-established when you get back to wherever you came from.
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Old 04-20-2015, 09:06 AM
 
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As a last resort is what I think he was getting at. I have plenty of money to survive on.
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Old 05-06-2015, 03:28 PM
 
11 posts, read 10,910 times
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A little late posting here but I agree with others that the place you saw in Waikiki has to be leasehold to be at that price. Leasehold properties are usually not desirable but it some cases they can be attractive. Take a look at the length of the lease - a mortgage company won't give you a mortgage that will last longer than the length of the lease, so if you're looking at a 30 year mortgage, the lease has to have more than 30 years left on it. Banks and mortgage companies usually have higher down payment requirements for leasehold properties, though (around 30%), so you should make sure you'd be able to afford the minimum down payment for leasehold mortgages.

The length of the lease is also something to take into consideration as far as resale is concerned. For example, if there is 45 years left on the lease and you only intend to stay there a couple of years, there would still be 43 years left on the lease. This would make it easier to sell because a new buyer would be able to finance it more easily due to the length of the lease. In my experience, a leasehold property that is really cheap, is really cheap because the end of the lease is approaching.

Also, you'd need to know what the lease rent is and when the lease rent is going to be renegotiated. The lease rent may not be much now, but if it shows a renegotiation date of, say, 2016, you may end up paying a new monthly lease rate several times the current rate.

Finally, on any condo property you buy, make sure you know what the monthly maintenance fee is and calculate that into your monthly expenses. In my experience, Waikiki properties tend to have high monthly maintenance fees.

Good luck!
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