Specializing in Austin Condos, Lofts and Townhouses

Why Own a Condo?

There are many advantages to owning a Condominium or Townhouse rather than a single family home, and we’ve listed the most important ones here.  Condominiums and Townhouses are very attractive investments for people of all ages whether they intend to occupy the property,  rent it out as an investment or use it as "student housing" for their college age children.  

Advantages of Condo/Townhome/Loft ownership:

1. Low Maintenance.  No matter what your age, some folks just aren't interested in mowing the lawn or painting the house in August (or any other month).  In condo and townhome developments, there is typically a property management company that takes care of exterior maintenance.  This varies by development, so check to find out exactly what is taken care of.  The nice thing is, you can take off for months at a time and not worry about yard work or cleaning the gutters.  You're free to concentrate on the inside of your home, vacation as long as you like, and read a book instead of sweating in the hot August sun.
2. Amenities.  Wouldn't it be great to have a pool and not have to take care of it?  How about a tennis court?  Or a clubhouse where you could host parties?  Many condominium and townnhome complexes provide these amenities for your enjoyment.  You don't have to maintain them.  You just get to use them.
3. Good Resale Market.  There is a very good resale market in the Austin area for condominiums and townhomes.  In fact 2006 sales in the Northwest Hills area alone were 5% higher than for 2005.  Researchers are predicting this trend to continue at an even higher pace.  Consider as well all the loft development going on in the downtown area.  There is a very good market for properties of this type.
4. Tax Advantages.  Did you know you can deduct mortgage interest on a second home?  If you divide your time between two parts of the country (or even two parts of Texas!), or you own a condominium that your dependent student lives in you will be able to take this deduction.   This helps you absorb the cost of owning two homes.
5. Great Rental Properties.  What if you don't want to live in a condominium?  Or you bought one for your college student who has graduated?  Or you used to live in one, but now you're moving?  One of the great advantages of having a condominium as a rental property is that you can base depreciation on the entire value of the property - not just on the structure or "improvement" as it is called.  Talk to your accountant about your particular scenario.  In addition, you will be using other people's money to pay for your investment and build your equity.  If you started with a low down payment, the future payoff could be very high.  And someone else maintains the property's exterior - saving you and your tenants the trouble.