Tracy Rental Management: Condos as Rental Properties

Many new landlords wonder how to combineTracy, CA rental properties in a way that will bring them the most profit. Where are the best neighborhoods? Should I buy apartments, single-family houses, or condos? What is the best kind of rental property in Tracy, CA for a first-time investor? Most of us have lived or have known people who have lived in apartments or single-family houses, but relatively few people have experience living in condos. This article discusses some of the pros and cons of buying condos as investment properties.

Condos are a hybrid of single-family residences and apartments. Many condos exist inside one building, and while an individual owner owns each residence, the area outside the residence (the common area) is held by the owners as a group. Because condos are smaller and less expensive than houses, they can be good investment opportunities for a first-time investor. They can also be good if you don't like dealing with maintenance issues, as condo associations charge maintenance fees to take care of those.

There are some negative aspects to buying condos as rental properties as well. The maintenance fees that condos charge can be hefty, and they are charged whether your condo is occupied or not. Sometimes condo associations will levy special assessments for new capital improvements, and these can be expensive as well. Furthermore, you have limited control over the common area, which may hinder your plans to make your condo more profitable.

If you have additional questions about the pros and cons of buying condos for rent, please contact Tracy rental management today.