Help for young couple buying a first-time condo with FHA?

[NotCranky]

There are houses with tiny yards in the areas Urban realtor is talking about. They won’t require much more work than a condo. I guess prices there will come down significantly in the next year or two. Depending on relative purchase price HOA fees could go towards maintenance.

I don’t really favor condos from any perspective, except maybe as a way to afford life in a really great community. Each to their own of course.

As long as you are still considering them and have asked about eastern areas, You might look at Rancho San Diego. This is less dense, suburban area east of town on the 94. Some of the condo grounds have a somewhat open feel, if one prefers that to living in a box next to another box, as is the situation in many centrally located buildings. The units should be priced lower per sq. foot the further east you go. You might consider how important a unit with a small patio might be to you, your husband and the pooch. Just in case you aren’t aware of it, it gets quite a bit hotter in the summer as you go east,especially in the valleys.

La Mesa is nice. Maybe one of the best balances of urban/suburban in the county.

[NotCranky]

[quote=4plexowner]”Condo loans with less than 25% equity will cost .75% more than a house.”

http://piggington.com/fnma_new_loan_pricing_increases

now why would FNMA want 3/4’s of a point more for condos than for single family houses?

could it be that condos are a bad investment?[/quote]

Seems to me that other than purchase price and rate, there are not many posters who seriously consider investment angles on this blog… in reference to their owner occupied homes.I am not trying to sound judgemental there. It seems about average.

[NotCranky]

[quote=4plexowner]”Condo loans with less than 25% equity will cost .75% more than a house.”

http://piggington.com/fnma_new_loan_pricing_increases

now why would FNMA want 3/4’s of a point more for condos than for single family houses?

could it be that condos are a bad investment?[/quote]

Seems to me that other than purchase price and rate, there are not many posters who seriously consider investment angles on this blog… in reference to their owner occupied homes.I am not trying to sound judgemental there. It seems about average.

[NotCranky]

[quote=4plexowner]”Condo loans with less than 25% equity will cost .75% more than a house.”

http://piggington.com/fnma_new_loan_pricing_increases

now why would FNMA want 3/4’s of a point more for condos than for single family houses?

could it be that condos are a bad investment?[/quote]

Seems to me that other than purchase price and rate, there are not many posters who seriously consider investment angles on this blog… in reference to their owner occupied homes.I am not trying to sound judgemental there. It seems about average.

[NotCranky]

[quote=4plexowner]”Condo loans with less than 25% equity will cost .75% more than a house.”

http://piggington.com/fnma_new_loan_pricing_increases

now why would FNMA want 3/4’s of a point more for condos than for single family houses?

could it be that condos are a bad investment?[/quote]

Seems to me that other than purchase price and rate, there are not many posters who seriously consider investment angles on this blog… in reference to their owner occupied homes.I am not trying to sound judgemental there. It seems about average.

[NotCranky]

[quote=4plexowner]”Condo loans with less than 25% equity will cost .75% more than a house.”

http://piggington.com/fnma_new_loan_pricing_increases

now why would FNMA want 3/4’s of a point more for condos than for single family houses?

could it be that condos are a bad investment?[/quote]

Seems to me that other than purchase price and rate, there are not many posters who seriously consider investment angles on this blog… in reference to their owner occupied homes.I am not trying to sound judgemental there. It seems about average.

[Anonymous]

You used the term good “investment”. There are no good investments in condos in SD right now. You mightbe able to find a place that yields a mortgage payment less than rent, but it is not a good, “investment”

When you buy a condo you buy the building, not just your unit. Most buildings with units in the price range listed have serious DQ HOA issues. If they do not have them now, they likely will in the future as more people bail on their upside down loans. The HOA DQ will lead to an assessment or inability to maintain the property. Does that sound like a good “investment” to you?

If painting the walls black and not needing to move every few years is the most important thing to you. You should buy, but just remember this is a lifestyle spend (like expensive clothes, meals, or cars) not an investment.

Further, you need to understand the tenant you are likely to get when you do move out. The price you are talking is a lower end unit. The tenant will aslo be lower end and seriously damage the place.

[Anonymous]

You used the term good “investment”. There are no good investments in condos in SD right now. You mightbe able to find a place that yields a mortgage payment less than rent, but it is not a good, “investment”

When you buy a condo you buy the building, not just your unit. Most buildings with units in the price range listed have serious DQ HOA issues. If they do not have them now, they likely will in the future as more people bail on their upside down loans. The HOA DQ will lead to an assessment or inability to maintain the property. Does that sound like a good “investment” to you?

If painting the walls black and not needing to move every few years is the most important thing to you. You should buy, but just remember this is a lifestyle spend (like expensive clothes, meals, or cars) not an investment.

Further, you need to understand the tenant you are likely to get when you do move out. The price you are talking is a lower end unit. The tenant will aslo be lower end and seriously damage the place.

[Anonymous]

You used the term good “investment”. There are no good investments in condos in SD right now. You mightbe able to find a place that yields a mortgage payment less than rent, but it is not a good, “investment”

When you buy a condo you buy the building, not just your unit. Most buildings with units in the price range listed have serious DQ HOA issues. If they do not have them now, they likely will in the future as more people bail on their upside down loans. The HOA DQ will lead to an assessment or inability to maintain the property. Does that sound like a good “investment” to you?

If painting the walls black and not needing to move every few years is the most important thing to you. You should buy, but just remember this is a lifestyle spend (like expensive clothes, meals, or cars) not an investment.

Further, you need to understand the tenant you are likely to get when you do move out. The price you are talking is a lower end unit. The tenant will aslo be lower end and seriously damage the place.

[Anonymous]

You used the term good “investment”. There are no good investments in condos in SD right now. You mightbe able to find a place that yields a mortgage payment less than rent, but it is not a good, “investment”

When you buy a condo you buy the building, not just your unit. Most buildings with units in the price range listed have serious DQ HOA issues. If they do not have them now, they likely will in the future as more people bail on their upside down loans. The HOA DQ will lead to an assessment or inability to maintain the property. Does that sound like a good “investment” to you?

If painting the walls black and not needing to move every few years is the most important thing to you. You should buy, but just remember this is a lifestyle spend (like expensive clothes, meals, or cars) not an investment.

Further, you need to understand the tenant you are likely to get when you do move out. The price you are talking is a lower end unit. The tenant will aslo be lower end and seriously damage the place.

[Anonymous]

You used the term good “investment”. There are no good investments in condos in SD right now. You mightbe able to find a place that yields a mortgage payment less than rent, but it is not a good, “investment”

When you buy a condo you buy the building, not just your unit. Most buildings with units in the price range listed have serious DQ HOA issues. If they do not have them now, they likely will in the future as more people bail on their upside down loans. The HOA DQ will lead to an assessment or inability to maintain the property. Does that sound like a good “investment” to you?

If painting the walls black and not needing to move every few years is the most important thing to you. You should buy, but just remember this is a lifestyle spend (like expensive clothes, meals, or cars) not an investment.

Further, you need to understand the tenant you are likely to get when you do move out. The price you are talking is a lower end unit. The tenant will aslo be lower end and seriously damage the place.

[4plexowner]

lower end condos are likely to be condo conversions as well – opens up a whole new set of issues – mostly having to do with quality

yes, I look at RE mostly from an investment perspective – I have my owner-occ situation well taken care of so my only interest in SoCal RE is investment

and I might suggest that anyone contemplating a purchase of something costing $200K+ could spend a few moments considering the investment aspects of that purchase – the OP even mentions renting the place out down the road

[4plexowner]

lower end condos are likely to be condo conversions as well – opens up a whole new set of issues – mostly having to do with quality

yes, I look at RE mostly from an investment perspective – I have my owner-occ situation well taken care of so my only interest in SoCal RE is investment

and I might suggest that anyone contemplating a purchase of something costing $200K+ could spend a few moments considering the investment aspects of that purchase – the OP even mentions renting the place out down the road

[4plexowner]

lower end condos are likely to be condo conversions as well – opens up a whole new set of issues – mostly having to do with quality

yes, I look at RE mostly from an investment perspective – I have my owner-occ situation well taken care of so my only interest in SoCal RE is investment

and I might suggest that anyone contemplating a purchase of something costing $200K+ could spend a few moments considering the investment aspects of that purchase – the OP even mentions renting the place out down the road

[4plexowner]

lower end condos are likely to be condo conversions as well – opens up a whole new set of issues – mostly having to do with quality

yes, I look at RE mostly from an investment perspective – I have my owner-occ situation well taken care of so my only interest in SoCal RE is investment

and I might suggest that anyone contemplating a purchase of something costing $200K+ could spend a few moments considering the investment aspects of that purchase – the OP even mentions renting the place out down the road

[Author]

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