Convenience, security, and comfort are just some of the perks you can enjoy when you choose to billet your residence in a condominium. Way back when condominium prices were rather exorbitant, owning a unit seemed more of a luxury than a necessity. Today, with more and more individuals opting to station themselves in proximity to their offices, schools, and entertainment centers, some condo unit prices have considerably dropped—and if they have not, the condo developer would offer flexible payment schemes. With so many payment options and a wide variety of condominium units to choose from, more potential homebuyers are inclined to buy a condominium today more than ever.
However, just because a new condominium developer is offering you a flexible payment scheme or the condominium looks lush and attractive does not mean you have to fork cash over right away and get yourself a unit. In fact, there are innumerable wrong reasons for you to buy a condo and here are just five of them.
1.) You need a fast investment
So you decided to jump the wagon and acquire your very own condominium unit. However, this would not be for your personal use, but you see it as a potential cash cow. Considering that a lot of young professionals are now more receptive to minimalist and urban living, you decided to take advantage of the trend and exploit your business acumen in real estate—hoping that these very same individuals would consider the alternative of condo tenancy as opposed to buying it outright. On the surface, it may seem like a sound idea, but this does not always do you any favors. Buying a condominium unit and renting it out is not a guarantee for profit. On the contrary, you could lose money as it all would really depend on the housing market which is beyond your control). Unless you are a professional real estate broker or investor, then perhaps you should rethink your options and think twice as to whether you should buy a unit or not. Purchase a home because you want to build equity, not for immediate profit.
2.) All of your friends have a condo unit
Maybe your friend Gabrielle from high school got a good deal in buying a condominium from Solstice a year ago, and maybe two or more of your friends are starting to purchase their condo units while you are there feeling very left out. True enough, scenarios like this still do occur and with more and more of your friends buying condos, the pressure in buying yourself one increases. Peer pressure is still a thing in adulthood after all. However, this does not mean you have to conform and get yourself one just for the sake of ‘fitting in.’ If you are comfortable with where you are situated and if it has all the essentials you need, there is no absolute need to go and acquire a condo unit.
3.) You just got married
Getting engaged and then getting married, what is next? Apparently, for some couples they think the next milestone should be getting a condominium unit together. For some, this seems like the next logical step and is a natural progression after a wedding. However, this does not sit well with other couples. If you think you and your spouse are not financially stable enough to buy a condominium, then refrain from doing so, or you will only incur debt. The point here is: Do not simply buy a unit because you think it is what you should do next.
4.) You think you will save money now
With all the flexible payment schemes and inveigling affordable rates thrown around by developers nowadays, it is almost impossible not to think of buying now where prices are lower than ever. But other than what you pay upfront, there are other fees you have to consider such as the monthly payments, the association dues, escrow payments and the like. If you add that up, it would seem like renting is cheaper especially if you are only staying in the unit short term. Do not bleed yourself out just because you were enticed by a deal if you think you could not afford it in the long run.
5.) You are getting older
Some individuals are under the mistaken impression that you are hardly considered an adult if you do not own your very own property. By this, it would mean having to buy a real estate property (whether a condominium unit or a residential home) as a “rite of passage” into adulthood. But the truth is, there is no rite of passage towards adulthood metaphorical or otherwise. If you think now is not the right time to buy a condo, or if you cannot simply afford it, there is no reason for you to hurt yourself financially.