Buying a LBI Condo? Don't Forget the HOA Charges
- High Tides Digital Marketing
- Jun 17, 2019
- 2 min read
Long Beach Island Real Estate Market Condos and HOA Charges
Buying a Condominium Long Beach Island Real Estate Market
When looking to buy a condo in the Long Beach Island real estate market many buyers forget to account for the HOA fees. Homeowner's Association (HOA) fees can vary greatly on Long Beach Island and understanding what they do and do not cover can help drive the decision to buy or not buy a home. Just like taxes and the electric bill, HOA fees are part of the ownership cost that all buyers should take into account when considering a LBI real estate transaction.
HOA charges can cover a wide range of costs and amenities. Typically the HOA will include:
Insurance, both liability and flood
Building and ground maintenance
Pool costs if applicable
Some condos will include water and sewer charges
While there is a lot of similarity in what the HOA covers, the costs can vary dramatically. One of the greatest variations is found with flood insurance. A condo complex may have several or all of the units below base flood elevation thus driving up the insurance costs for the association. By contrast a similar association that is above base flood elevation may have a lower HOA and end up costing less to own and operate (even if the latter is a more expensive unit). Additionally a higher HOA may drive buyers out of the market thereby limiting the appreciation of a home in the Long Beach Island real estate market. It is these small but significant changes that can be the difference between a good and bad investment in the LBI real estate market.
Buying in the Long Beach Island Real Estate Market
The condominium market has a lot of options on Long Beach Island. There are side-by-side condos, large and small complexes and everything in between. Before buying a condo on LBI you have to understand what the association covers and how the HOA is run. This is one of the most important steps to condo investment on Long Beach Island. A though analysis of the condo and the association can help protect your investment and help to ensure the asset will appreciate long term. If you have any questions about buying, selling or investing in the LBI real estate market please do not hesitate to contact me.
By : Nathan Colmer |LBI Real Estate Agent | The Van Dyk Group
Cell: 609-290-4293 | Office: 800-222-0131 | ncolmer@vandykgroup.com
