Condo prices, sales booming in U.S.

[ringmastery]

http://story.news.yahoo.com/news?tmpl=story&u=/usatoday/20040217/bs_usatoday/condosalesoutrunafastmarket

Condominiums, the long-suffering stepchild of the U.S. housing market, have come of age. In big cities and across the Sun Belt, condo sales are booming, and prices are up smartly.

For many, condos conjure an image of cramped living, high-priced parking and mettlesome building associations.

But they're hot because they're still affordable, and they meet the demands of baby boomers and Generation X buyers for low maintenance and convenient, hip, urban locations. They've moved in the last few years from laggard to leader in a national housing market that took off a decade ago and has been kept strong by high demand and low mortgage rates.

For the first time, the price midpoint for condos in the final quarter of 2003 topped that of detached single-family homes - $174,700 vs. $171,600, the National Association of Realtors has reported. Sales volume is growing faster than that of single-family homes and is closing in on 1 million units per year, NAR says.

[Skittles]

1. the prices they mention are f***ing ridiculous

absolutely absurd.

[GOPisEvil]

2. Why the hell are condos more expensive than houses?!

Add the condo fees to the house price and it's freaking insane.

[ringmastery]

3. closer to cities

You walk to work, restuarants, museums, beach, you don't have to drive as much, convenience, not having to worry about a yard, lots of reasons.

Also, many condos have ocean views. Anything by the beach will cost a hell of a lot of money.

[GinaMaria]

4. amenities cost

swimming pool, workout room, etc. There may also be space rented to businesses like dry cleaners and banks, video rental places and convience stores. You always pay for convience.

[GOPisEvil]

5. Grrrrr...it ain't fair, I tell ya.

Maybe in a true urban area it might be worth it. But not here. Condos and townhomes in the suburban areas are outrageously priced for what you get too.

x(

[VOX]

6. Exactly! Condo fees + property tax = insane monthly payout...

Which is why my wife and I bought a house last year. We were looking at condos, and it dawned on us that a house was actually more practical in terms of monthly payout. (Well, the 5% rate back then didn't hurt, either.)

[Logansquare]

7. Statistical anomalie--not too many condos in rural areas

for example, and you can buy an entire house with land for a relatively low price. Lots of condos in urban centers, and prices for them and for regular houses are high. I live in a gentrifying neighborhood in Chicago within blocks of an expressway and convenient public transportation. Thus my 100-year-old two flat (a two-family building) is valued at about 350K. That isn't anything shocking; houses in more desirable neighborhoods go for half a million all the time.
My mother lives in a house on three beautiful acres in a rural part of Ohio, and the whole thing is valued at 75K.

[GOPisEvil]

8. True...but even in suburban Austin...

condos and townhouses sell nearly for the price of a "real house".

[EV1Ltimm]

9. There's alot of different "types" of condos...

I have a patio home and it's classified as a condo. it got appraised for a little less than that... but than again, house prices in my neck of the woods are generally ridiculous.

[cryofan]

10. Bought my condo for 31K in Houston

I figured prices were going up: we just recently got a cold-call solicitation letter from an agent wanting to buy condos here.

2 years ago, this condo cost us 31K--for 2 bdrms, 880 sqft. Here in Houston, in South Maplewood neighborhood (next to Meyerland--Braeswood/Hillcroft area), most the houses go for 150-350K.

Total monthly outlay for my condo is $550 with taxes, utilities, mortgage and HOA payments.

Best thing about this condo is that it is about 1/2 block from one bus line and 3 blocks from another bus line. So, if the car breaks, no big deal.

[ringmastery]

11. $31k

that's damn cheap. Is it a safe neighborhood? I've never heard of condos going that cheap unless they are over 55 communities or very undesirable neighborhoods.

[GOPisEvil]

12. That is cheap!

You got a great deal!

[tjwash]

13. I'm sitting here with my mouth agape...

...at the low prices I am seeing here on this board. In San Diego the Median price for a single family house is at 400K, and we also own a 1400 sq. foot condo that we rent to someone, that just got appraised at 299k. Condos go like hotcakes here, because they are still affordable. People just can not spring an average of a 80k down payment anymore for a house, and if you can put up with the BS from an HOA board, the condos are pretty close to schools, parks, etc.

The real estate bubble here is fixing to adjust a bit though. We have periods of extremely soft markets here, where it can take up to a year or more to move property. I have a feeling since the raping and pillaging that the pubs in DC have done in our high tech market here, outsourcing every freakin' thing to India like they are, it's fixing to happen again. Funny, the last awful real estate market here was in 91, when poppy was Pres...

[newyawker99]

14. Hi tjwash!!

Welcome to DU!! :toast: