Quote:
Originally Posted by ken0042
Why wouldn't a landlord work condo fees into the rent they charge? It makes no sense to pay something that you would charge to a tenant.
But getting back to the original subject, he said he bought before the boom, so let's say he paid $150K. That makes his mortgage $921. Plus tax and condo fees that is $1221. So out of that $987 is going out the window on interest, condo fees, tax. But 18 months ago a condo that would sell today for $250K would have rented for $1500 per month; I've seen rents on units like that closer to $1800. But using the $1500 example, he would have spent an extra $9200 on renting vs owning. So while he "lost" $40K, he really only lost $31K.
My original point still stands; there are more costs to look at besides the final selling price.
|
No, he bought in december.
re: condo fees, no the landlords don't "include" that, they rent for whatever they can get and right now that's about 60% what it costs to own (on a 25 year mortgage)
And your rent rates are way out of whack. 600s apartments do not rent for $1800. More like half that, but don't quote me on that, I don't know anybody that rents something similar. Either way, buying a condo last December was not a good move, not sure where you're going with this.