Feedback on FLL luxury condo as investment?

[City Guy997S]

Originally Posted by blueskies2023

The insurance alone ona house on water in south florida will kill.

If he is a cash buyer and the house is a teardown..........why buy insurance? Its a land play long term.

[blueskies2023]

Originally Posted by kidyankee764

The days of buying in South Florida for investment purposes are over. It’s far too expensive.

10000% fact

[blueskies2023]

Originally Posted by Miamibuyer

Thanks Wizrap! My biggest weakness has always been patience. Sometimes that a good thing and sometimes it leads to bad decisions. I’d hate to wait 2 years but I think waiting until later in the year is something I should do at the very least. I’ve already noticed some prices coming down slightly. I’m blown away by how much HOAs have been going up. Super high HOA just makes it even more difficult to sell at some point. It’s one thing to be able to afford the condo but it’s another thing to have to spend 10 K a month on HOA and taxes which is quite a high burn rate!

I can't imagine a smart or wealthy will continue to purchase condos with the exhorbitant high hoa which will, no doubt, continue to rise. Let the chips fall and eventually most residents will sell or foreclose.

[City Guy997S]

Originally Posted by blueskies2023

I can't imagine a smart or wealthy will continue to purchase condos with the exhorbitant high hoa which will, no doubt, continue to rise. Let the chips fall and eventually most residents will sell or foreclose.

Ehhhhh.........I know you are dreaming of that but consider a few things:

1. Condos are a turnkey experience for owners. They pay/they stay and don't have to worry about upkeep at the property nor staffing
2. Single family has the same rising costs but they are more hands on than a condo.

So do you want to go to a steakhouse and be served a $70 steak with a side of $18 potatoes? Or do you want to buy a grill, buy a Costco steak for $14, cook it yourself and then clean up the dinner? Both experiences will cost you money, how do you want to spend it?

[City Guy997S]

Originally Posted by kidyankee764

The days of buying in South Florida for investment purposes are over. It’s far too expensive.

Originally Posted by blueskies2023

10000% fact

Nah............you just need to think outside the box! This property was owned for decades by the guy that invented A/C for cars despite being blind most of his life. He died, widow sold it for 24mm a couple years ago. Tax bill is 400K a yr (ouch). Buyer tore the house/guest house down and split the lot into 3 lots. He is trying to pedal a 120mm spec house on the point but recently put the whole lot up for sale at 49mm. He could easily make 20mm for simply buying and tearing a mansion down.

https://www.realtor.com/realestatean...=srp-list-card

https://www.fancypantshomes.com/luxu...rt-lauderdale/
This is a little history.

[wizrap]

Where are you MiamiBuyer? Opportunity appears to be knocking:

https://www.redfin.com/news/florida-...ices-dropping/

Condo sales are softening precisely for the reasons mentioned in this thread. Higher condo association fees and assessments, as well as increased insurance costs are repelling buyers.

[blueskies2023]

Originally Posted by wizrap

Where are you MiamiBuyer? Opportunity appears to be knocking:

https://www.redfin.com/news/florida-...ices-dropping/

Condo sales are softening precisely for the reasons mentioned in this thread. Higher condo association fees and assessments, as well as increased insurance costs are repelling buyers.

softening cause it's a bad purchase, bad investment for the reaons you just said. SFH, cash buyer or find another state. There are many others!

[Miamibuyer]

Originally Posted by wizrap

Where are you MiamiBuyer? Opportunity appears to be knocking:

https://www.redfin.com/news/florida-...ices-dropping/

Condo sales are softening precisely for the reasons mentioned in this thread. Higher condo association fees and assessments, as well as increased insurance costs are repelling buyers.

I am still here:-) I am going to buy something in Miami Beach, Sunny Isles or Fort Lauderdale. I am seeing prices coming down especially for luxury condos. I’m looking for a full service building, on the water and very turnkey. There are some sellers that still think they should get double for their condo if they bought it a year ago. But I’m also seeing some sales that are at or even below what they bought it for a year or more ago. I just keep watching and try to find the right seller. The right seller is someone that bought several years ago and are motivated sellers with room on price since they will book a gain. There are some sellers who are delusional so they will weed themselves out in the coming months. I am not holding out for a “steal”…I am just looking for something where the insanity of 2020 is not reflected in price