Move condo investing from the no pile to yes?

[Page Huyette]

I tentatively type this post, as I normally cringe at the thought of investing in condos due to the lack of control over several variables.

However, since our market is hot and inventory is low, I'm staying open to all options. There is an affluent vacation area nearby, where long-term rentals are in high demand and extremely scarce (think--how much do you want for that closet, and will a futon fit in it?). I connected with an experienced agent that specializes there, and am looking at some condos with good locations, stable HOA's that she believes would be easier to sell than others.

I'd be interested to receive feedback on the good, bad and ugly to help me in my research. I enter into this as a skeptic, but willing to learn. If you run screaming from the thought of a condo purchase, please share your reasoning so that I many learn from it. Had a good experience--love it!

I'd likely be going for something that needs some work, would consider short sales and REO and would also factor PM fees into costs. A rough first pass shows typical HOA fees in the area running roughly the equivalent of 3-4% of purchase price.