Buying condo in Brickell

Miami, Florida
Buying & Selling Real Estate
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Buying condo in Brickell

Christopher NA
Member since 2023 · 1 post · 0 votes

Hi all,

Thinking about buying my first home in the Brickell area. 

The price of the condo I'm looking at (which is in same building where I currently rent) is around 720K. It's a 2 bedroom, 2 bathroom loft. Looking to put 300K to 400K down and finance the rest. Assuming 300K down, my monthly payment breakdown would be: $2,517 (30-year mortgage), $1,300 (HOA), $100 (insurance), $710 (property taxes), and $300 (utilities/misc.) for a grand total of $4,927 a month. Also: I've spoken to a few members of the board of this condo, and they think that because of upcoming inspections, etc., it's possible every owner would have to pay 20K or so out of pocket to cover issues with the building. The building was built in 2008.

More background: Salary is high but with possible recession looming, the industry I'm in could be hit hard. Things are getting slower where I work, though it could be the ebb and flow of my industry.

I want to upgrade to this unit to have more space. It's also possible that my partner moves in with me soon and we start a family then. Plan is to live in condo for five years and then rent it out. 

Thoughts? In the alternative, I could continue to rent, and see where the market and my profession is at in one year. I also could look at single family homes then instead. Thanks in advance for advice.

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Ray Hage
Investor · Fort Lauderdale, FL · Member since 2020 · 1k+ posts · 755 votes
3y
Quote from @Christopher NA:

Hi all,

Thinking about buying my first home in the Brickell area. 

The price of the condo I'm looking at (which is in same building where I currently rent) is around 720K. It's a 2 bedroom, 2 bathroom loft. Looking to put 300K to 400K down and finance the rest. Assuming 300K down, my monthly payment breakdown would be: $2,517 (30-year mortgage), $1,300 (HOA), $100 (insurance), $710 (property taxes), and $300 (utilities/misc.) for a grand total of $4,927 a month. Also: I've spoken to a few members of the board of this condo, and they think that because of upcoming inspections, etc., it's possible every owner would have to pay 20K or so out of pocket to cover issues with the building. The building was built in 2008.

More background: Salary is high but with possible recession looming, the industry I'm in could be hit hard. Things are getting slower where I work, though it could be the ebb and flow of my industry.

I want to upgrade to this unit to have more space. It's also possible that my partner moves in with me soon and we start a family then. Plan is to live in condo for five years and then rent it out. 

Thoughts? In the alternative, I could continue to rent, and see where the market and my profession is at in one year. I also could look at single family homes then instead. Thanks in advance for advice.


 MIami is currently in a weird place regarding condos. They are putting up new resodential buildings very quickly within Brickell and a few miles out. Could there be a condo crash in the future? Maybe. 

Depending on what you're paying for rent now, you might be better off continuing to rent vs buying a condo. If possible, I would advise buying a SFH as close to Brickell as you can afford. Of course, it will be more expensive but you will have a lot less restrictions on renting it and not have to worry about random assessments here and there. I am also an investor myself and while i am still looking for deals out there, I would generally be wary of condos in Miami and FTL. Also regarding your property taxes, it would probably be closer to 1000/mo at a 720k price point. We could discuss further if you'd like?

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  • Ryan Voccia
    Investor · Delray Beach, FL · Member since 2017 · 11 posts · 7 votes
    3y

    Are you comfortable with payment if you lose your job?

    1Reply
  • Ray Hage
    Investor · Fort Lauderdale, FL · Member since 2020 · 1k+ posts · 755 votes
    3y
    Quote from @Christopher NA:

    Hi all,

    Thinking about buying my first home in the Brickell area. 

    The price of the condo I'm looking at (which is in same building where I currently rent) is around 720K. It's a 2 bedroom, 2 bathroom loft. Looking to put 300K to 400K down and finance the rest. Assuming 300K down, my monthly payment breakdown would be: $2,517 (30-year mortgage), $1,300 (HOA), $100 (insurance), $710 (property taxes), and $300 (utilities/misc.) for a grand total of $4,927 a month. Also: I've spoken to a few members of the board of this condo, and they think that because of upcoming inspections, etc., it's possible every owner would have to pay 20K or so out of pocket to cover issues with the building. The building was built in 2008.

    More background: Salary is high but with possible recession looming, the industry I'm in could be hit hard. Things are getting slower where I work, though it could be the ebb and flow of my industry.

    I want to upgrade to this unit to have more space. It's also possible that my partner moves in with me soon and we start a family then. Plan is to live in condo for five years and then rent it out. 

    Thoughts? In the alternative, I could continue to rent, and see where the market and my profession is at in one year. I also could look at single family homes then instead. Thanks in advance for advice.


     MIami is currently in a weird place regarding condos. They are putting up new resodential buildings very quickly within Brickell and a few miles out. Could there be a condo crash in the future? Maybe. 

    Depending on what you're paying for rent now, you might be better off continuing to rent vs buying a condo. If possible, I would advise buying a SFH as close to Brickell as you can afford. Of course, it will be more expensive but you will have a lot less restrictions on renting it and not have to worry about random assessments here and there. I am also an investor myself and while i am still looking for deals out there, I would generally be wary of condos in Miami and FTL. Also regarding your property taxes, it would probably be closer to 1000/mo at a 720k price point. We could discuss further if you'd like?

    2Reply
  • Gina SternPro Member
    Investor · Boca Raton, FL · Member since 2019 · 1k+ posts · 160 votes
    3y

    Hi there, is this a foreclosure deal?

    [email protected]561-430-2616
    1Reply
  • Bob S.
    Real Estate Consultant · Cleveland · Member since 2020 · 6k+ posts · 3k+ votes
    3y
    Quote from @Christopher NA:

    Hi all,

    Thinking about buying my first home in the Brickell area. 

    The price of the condo I'm looking at (which is in same building where I currently rent) is around 720K. It's a 2 bedroom, 2 bathroom loft. Looking to put 300K to 400K down and finance the rest. Assuming 300K down, my monthly payment breakdown would be: $2,517 (30-year mortgage), $1,300 (HOA), $100 (insurance), $710 (property taxes), and $300 (utilities/misc.) for a grand total of $4,927 a month. Also: I've spoken to a few members of the board of this condo, and they think that because of upcoming inspections, etc., it's possible every owner would have to pay 20K or so out of pocket to cover issues with the building. The building was built in 2008.

    More background: Salary is high but with possible recession looming, the industry I'm in could be hit hard. Things are getting slower where I work, though it could be the ebb and flow of my industry.

    I want to upgrade to this unit to have more space. It's also possible that my partner moves in with me soon and we start a family then. Plan is to live in condo for five years and then rent it out. 

    Thoughts? In the alternative, I could continue to rent, and see where the market and my profession is at in one year. I also could look at single family homes then instead. Thanks in advance for advice.

     Heck no. everything in FL is overpriced. I live two hours north . I am down there all the time, its crazy high, Thats insane, 5k a month get out of the city and get a house,,,,,

    1Reply
  • Malgorzata SadowskaPro Member
    Real Estate Agent · Miami, FL · Member since 2017 · 506 posts · 205 votes
    3y

    buy a value add duplex & rent out the other unit.

    1Reply
  • Bob S.
    Real Estate Consultant · Cleveland · Member since 2020 · 6k+ posts · 3k+ votes
    3y
    Quote from @Malgorzata Sadowska:

    buy a value add duplex & rent out the other unit.


     Where ? 

    0Reply
  • Richard F.
    Honolulu, HI · Member since 2008 · 3k+ posts · 2k+ votes
    3y
    Quote from @Christopher NA:

    Looking to put 300K to 400K down and finance the rest. Assuming 300K down, my monthly payment breakdown would be: $2,517 (30-year mortgage), $1,300 (HOA), $100 (insurance), $710 (property taxes), and $300 (utilities/misc.) for a grand total of $4,927 a month. Also: I've spoken to a few members of the board of this condo, and they think that because of upcoming inspections, etc., it's possible every owner would have to pay 20K or so out of pocket to cover issues with the building. The building was built in 2008.
    Aloha,

    For a building that new, with the Board already considering a 20K Special Assessment, you should walk away. By failing to have an adequate Reserve Funding Plan to cover these expenses so early in the life cycle of a property is a major Red Flag. Where are they cutting corners on the quality of vendors they are using? Where are they already deferring maintenance, or not performing routine Preventative Maintenance to extend the useful life of various elements such as roof and gutters, exterior paint, termite inspections and treatment, high risk component inspections, and much more?
    You need to clearly understand the current Operating Budget and Reserve Funding Plan to see what the future holds for you. Also of course, as an Owner, you need to also be concerned with the Governing Documents of the HOA- By-laws, Declaration, House Rules, as well as State HOA/Condo laws. When you purchase a property of this type, you automatically agree to abide by their Governing Docs, and the Board typically has the final say in all matters, until and unless you can prove they have violated their fiduciary duty by not following those Governing Docs and the Business Judgment Rule.
    1Reply
  • Raymond J. RodriguesBusiness Member
    Lender · Miami, FL · Member since 2017 · 1k+ posts · 797 votes
    3y

    @Christopher NA, reach out to @Malgorzata Sadowska. She is an expert in the area and will be able to help you out! 

    [email protected]619-456-8311
    Helm Mortgage Corp.5126 Reviews
    WebsiteView Page
    0Reply
  • Sebastian Giraldo
    REALTOR, Investor, and Rehab Expert · Miami Beach, FL · Member since 2015 · 196 posts · 74 votes
    3y

    @Christopher NA This is my sole untethered opinion as a RE investor and professional and also a resident of the Brickell area. While many may say don't invest in condos and buy a multifamily and house-hack. I agree with them. To me, it is most important to invest earned income and spend passive income. However, it is worth considering the flipside: 

    1. Rental Prices: Brickell is the Manhattan of Miami. As such to remain in this area you will be paying Manhattan rental market prices one day. Ex: Baccarat Hotel in Manhattan will recently be going up in Brickell. I do agree that in order to stay in Miami we must have our rental living expenses under control before they sky rocket. 

    2. The current flow of wealth into Brickell will see a significant amount of appreciation. 

    All in all, while not considering other personal yet important variables. It is possible that Brickell is  a good long term investment. 

    0Reply
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