This is the third post in a 6 part series to help those that have ever wanted to own a condo but didn't know where to begin, understand what it means to own a condo.
This post will address the questions about what are the ongoing cost of ownership expenses.
If you have been following along in this series of “How does Condo Ownership Work” you know what you own and what the association dues cover. Now, we need to know what are the holding costs or, in other words, the ongoing costs of ownership. These are the expenses that, even if you bought the property with all cash or have it paid-off, you will continue to incur annually.
This is very easy, to sum up, the holding costs include; HOA dues, property taxes, insurance, electric and phone. These 5 expenses are ones that you will incur every year you own the condo. In order to estimate these, you’ll need a good Perdido Key real estate agent to help you. Looking up past property taxes, current HOA dues and having contacts at local insurance brokerages are a must when working with prospective condo buyers. You’ll also need to know how you intend to use the property. For instance, if it’s a rental, you’re electric costs will likely be higher than if it’s just a vacation home. Knowing how technology can help you be energy efficient is a must. One example of this is having a smart thermostat(think Nest or Ecobee) installed which will turn off your AC system when no one is in the condo. This is a sure way to save on your utility costs.
So, how do you cover these holding costs? This will be discussed in the next post.
Broker/Owner Perdido Key Resort Realty
GM Perdido Key Resort Management
JD is the Broker/Owner of Perdido Key Resort Realty which proudly serves all property owners in and around the Greater Perdido Key and SW Pensacola areas. If you have questions about buying, selling or general questions about the market then you should speak with JD at your soonest convenience. If that isn't enough... JD Hallam also currently is a Board Member as the Perdido Key Lodging Representative for the Escambia County Tourism and Destination Marketing Organization, VisitPensacola, and is the organization's FY18 Marketing Chairman after having been the Treasurer for FY17.