Finding Success in the Tampa Condo Market
The Tampa condo market, no longer just a cheaper alternative for single-family home hunters or baby boomers, now has a growing variety of options. The spectrum of condo properties ranges from luxurious high-rise penthouses that rival several million detached houses, to hotel condos that allow homeowners to experience a VIP lifestyle and urban lofts that cater to young professionals. Tampa’s growing condo market offers options for every type of buyer. Luxury condo living is in demand for baby boomers and retirees throughout the Tampa condo market. These luxurious residences often offer a concierge, doorman, 24-hour security staff, and housekeeping service. For health and recreation services, the luxury condominiums include spas, swimming pools, top-of-the-line gyms, as well as tennis and racquetball sports; and many more. Of course, luxury is not cheap.
However, a condo doesn’t have to be luxurious or even new to be desirable. Developers have been converting attached rental shares into condo communities, recognizing the need for affordable housing and rising construction costs, as well as land restrictions in the Tampa condo market. Condo conversions have never been stronger than in 2004. New York research firm Real Capital Analytics Inc. reported an increase in condo conversion sales nationwide of more than $ 11 billion or 77,193 units. sold in 2004 at more than $ 28 billion or 182,742 units sold in 2005. This year the trend continues to gather momentum.
Condo conversions are popular in the Tampa condo market with vacant nests and retirees looking for a reduced cost of living, secure gated facilities, and less maintenance. The usual opinions of real estate experts say, “Instead of tearing something down, why not remodel and rehab the property?” and “If an existing property is already located near schools, jobs, recreation, and other lifestyle options, the question should be, why not convert?”
Many apartment owners have chosen to convert their apartment building into condos throughout Tampa. It is very encouraging to tenants that they are offered the option to purchase their apartment, or that new buyers are able to purchase any of the apartments converted into condominiums. Not only is this great news for a tenant who chooses to buy, but it also generates huge profits for the apartment owner for their property.
These renters can purchase a comfortable condo at a substantially lower price than most houses. Additionally, they may be able to enter the condo with a minimal down payment, and the amortization of their new home may be the same or slightly higher than what they used to pay for rent.
However, the main reason renters buy when they are offered a condo is the incredible equity they would accumulate with the property. With home prices continuing to rise throughout Tampa, condo unit owners certainly benefit from such a price spike. Even though the condo is not exactly the home the owner wants, they can apply the equity they get from buying another new home at a later time. Some new buyers are realizing that during the period between the time they started paying for their condo and the actual closing date for amortization, their unit may have appreciated by at least $ 50,000.
In fact, there is no single type of condo conversion. But most of these complexes also feature a variety of community amenities, such as shared pools, community centers, and golf courses.