$180k condos in Huntington Beach? What's the catch? (Palm Springs: short sales, real estate)

[635911]

Hi all,
I was going through some real estate sites and saw some of these condos listed. Granted some were short sales/foreclosures, but some were regular sales. Many were built in the 1960's and 70's. Is there something more I need to know? I won't be able to afford a SFH but would like to get into an entry unit and build from there. I am aware of HOA's, etc and would rather be in a good location (preferably beach) vs. square footage.

I frequent OC 1-2 times a year and somewhat follow the OC forum. Maybe in the near future, moving there is a possibility. Just doing my homework in the mean time.

[som3on3_10]

Check to see if it's on leased land. That could be the catch.

[bhcompy]

Originally Posted by som3on3_10

Check to see if it's on leased land. That could be the catch.

Almost guaranteed to be the catch

[EscapeCalifornia]

In addition to being on leased land, they may be apartment conversions which means poor construction and poor sound isolation from neighbors. Also, expect to be in the barrio or bro-ville.

[DinsdalePirahna]

Originally Posted by EscapeCalifornia

In addition to being on leased land, they may be apartment conversions which means poor construction and poor sound isolation from neighbors. Also, expect to be in the barrio or bro-ville.

the neighborhoods with these leased land condos are actually pretty nice.

[HarleyGuyOC]

Originally Posted by 635911

Hi all,
$180k condos in Huntington Beach? What's the catch?

You are!

[Oldwestgambler]

It most likely is on leased land and I personally avoid those at all cost. You might as well just rent an apartment and save your down payment for a condo or townhome not on leased land. Leased land means you never truly own it because you'll always be "renting" the land under the complex...kind of like a mobile home park.

When I was looking for a vacation home in Palm Springs and ran into the leased land issue with a considerable amount of condos being leased land there, my agent explained all the pitfalls of such a purchase and how they're not really a deal at all.

I agree the area is nice, but there are apartments close by that you don't pay 20% down, monthly HOA dues, monthly land lease, homeowners insurance and taxes. Apartment hands down makes more financial sense. The poster about the construction being less than great is also true. I own a place that was designed and built as a condo and another investment condo is a conversion from apartments to condo. The construction quality and finish is night and day. One is well built and the other was built by a contractor that couldn't care less about quality. I'll never buy a conversion again.