Is buying a condo and having it rented out a good investment?
By onceafrog
@onceafrog (51)
United States
September 29, 2008 6:20am CST
I long wanted to buy a condo of my own and have it rented out. But after some research and in my own opinion, the cons outweigh the pros for this kind of investment. I thought that this kind of investment is somewhat risk-free and is the easiest. It turns out that there are alot of real-state fees in having a condominium. Also, considering the fact that the condominium has a 20% probability of not being rented for the whole year. But of course as they say with business, this type of investment also calls for "Location location location!"
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1 response
@derek_a (10873)
•
29 Sep 08
Yes, you are right. I have rented property before and whilst it was a good investment at the time, it cost quite a lot to get it set up - in the UK there are building rules and regulations that has to be followed to ensure the house is safe for people to live in. Then there was the repairs after tenants left it in a bad way. But all in all, the investment paid off.
But I wouldn't do anything like that at the moment until the market settles down unless I was able to buy for cash and not have to take out a loan, which would be very difficult here in the UK at the moment.
