We understand how frustrating it can be to search for a home in Austin. Half the battle is learning the key terms and what they mean in regards to Texas real estate. So each week we bring you Key Term Tuesday – our way of helping you decode the industry jargon that keeps you from owning your home search.
What is a Condo Conversion?
The term condo conversion is used to describe the act of changing the ownership structure of a building (or property) from a single entity to a mixture of separate and commonly owned portions of the property. For example, an apartment complex can be converted from a single owner (and unit renters) to a condominium where apartment units are sold to individual owners and the common property (e.g. garage, parking and driveways, pool, club houses, etc.) becomes owned collectively by the unit owners. Unit owners then share the expenses incurred for the operation of the common areas.
Historically, condo conversions have developed a reputation for experiencing a range of difficulties ranging from faulty construction issues and financing impediments. Inability to obtain financing being the most common issue we see with clients. The best advice when considering the purchase of a converted condominium is to get your lender involved in the purchase/financing process early to avoid surprises.
Looking for a Condo Expert?
Our team has a combined 55+ years of experience helping home buyers understand the condo real estate market. Check out our approach to Buying a Home in Austin to learn more about our team and how we work. Then, call us at (512) 827-8323 or email us at info@11OaksRealty.com to schedule a no obligation consultation.