Attention condo owners! Are you considering selling your condo? It seems like there's a movement happening in 2023 with many condo owners putting their condos on the market. There are three main reasons why this trend is taking place and one factor that's impacting it all: inflation.
You might be wondering, how does inflation affect condos? Well, as inflation increases, so do your homeowner's association payments, which you can't control. This is frustrating for many condo owners who are tired of seeing their payments continually rise without any say in the matter. Selling your condo and buying a single-family home might mean a slightly higher monthly payment, but at least you'll have control over where your money goes and what you do with it.
Another reason why condo owners are hitting the market is to gain greater control over their living space. Condo living can be restrictive, especially for those with pets or a growing family. If you want more space or the ability to make changes to your home, buying a single-family home might be the solution. In fact, for the first time in over two decades, the cost of home renovations, including additions and finishing new space, can be more beneficial than buying a new home that already has these features.
Lastly, many condo owners want a greater sense of ownership. With homeowner's association payments, you have limited control over repairs and maintenance, and you can't make changes to the exterior of your condo. Buying a single-family home gives you the opportunity to pick your own repairs, contractors, and the look of your home.
Interestingly, while inflation has increased, interest rates have also gone up. This affects homebuyers, but baby boomers who are downsizing from larger homes to smaller condos are able to buy with cash and are less impacted by interest rates. However, low inventory still creates competition, with multiple buyers fighting over every single condo.
If you're frustrated by rising homeowner's association payments, lack of control over your living space, or a lack of ownership, there are solutions out there. Working with a great lender can help you secure a lower interest rate or participate in a rate watch program to refinance when rates drop at no charge. Whatever your obstacle or fear may be, let us know in the comments below, and we'll work with you to find a solution.
