Wednesday, June 19, 2013

Single Family Home versus Condo in Sarasota FL

I've blogged about this topic before.  If you are getting a mortgage for your vacation property, or are looking to buy as an investment, single family homes are the best bet compared to condos.

View my analysis here:  http://www.davidbarrhomes.com/#!condo-versus-house-sarasota/c1tqw

The carrying costs for single family homes versus condos (insurance, fees, maintenance) are roughly the same.  However, getting a mortgage for a condo is turning into a nightmare.

Prepare for 30% down for a condo purchased as a vacation property.  Your interest rate will be higher if you are purchasing a condo as an investment property.  Add to this the fact that mortgage lenders are now sending questionnaires to condo association managers and asking for detailed financial statements before approving the mortgage.  One of my recent client's closing was delayed because the condo association did not reply to the intrusive questions from the lender in time.

I probably don't need to tell you what those clients went through personally, to satisfy last minute demands from the lender.

Just another reason to choose a single family home over a condo in the Sarasota FL.

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