One of the things you should keep in mind when investing in a condominium is that the exterior of your home is under the control and direction of the association. The reason for that is simple; if unit owners were allowed to go unchecked, owners might find themselves next to full wall murals featuring the king (Elvis Presley, of course!) or “dogs playing poker”. While these examples may be extreme, there is a potential for many unwanted “irregularities” were there not an oversight body in place for such decisions. That body, of course, is the board of directors.

Lenders have clamped down really hard on the money they are making available to residential home buyers. In particular, they have made it extremely tough on condominium buyers. Why is this so? You'd really have to ask them. While you are at it, you might want to ask if they've repaid their TARP funds!

One thing I try to counsel condominium buyers on is the importance of an owners insurance policy. Buyers can become confused over the need for this when they find out that their normal monthly association fee already covers a hazard insurance policy. They wonder if they are not over insuring their place or wonder if it's necessary at all. The fact of the matter is there is nothing in that master policy for the association that will protect their contents, and many times, nothing to cover new kitchen cabinets, appliances, flooring etc..

One of the most popular requests by home buyers I work with is to find a complex with the kind of demographics they are after. More times than not, buyers want to associate with other owners of either the same age or income as themselves. (Please consult my “condo complex profiles” section on my website for helpful information in my market area.) This is a relatively easy task since there are a few characteristics of complexes that will lend themselves to one group type as opposed to another.