Buying Wedge Deals in Connecticut

[Dorian Yanez]

Investment Info:

Condo buy & hold investment.

Property was purchased below appraised value, rehabbed and rented within 30 days of closing.

[Jeff Lamothe]

Congratulations on your investment Dorian. Would you mind sharing where did you acquire this Condo and what are the HOA fees? Did you have any challenges with the Condo association for renting your unit?

[William Collins]

@Dorian Yanez  Congratulations.  What market for your condo's are you doing?

What was the best part of the deal?

What was the worst?

How did you vet your Condo Association before buying there?

[Dorian Yanez]

Thank you @William Collins!

What market for your condo's are you doing? I'm focused in areas in CT that are the suburbs of the Cities. Close enough to make the commute into Hartford or Stamford tolerable. :o)

What was the best part of the deal? The best part of the deal is when the appraisal comes back already with equity built in and with the statement indicating that the acquisition is in the favor of the buyer. Win/Win

What was the worst? How long it takes to close these days. You have to be really patient and so does the seller. 

How did you vet your Condo Association before buying there? I make all offers contingent on review of the by-laws. I read the by-laws completely and schedule an interview with the association president and ask them very specific question. In addition, I have a rule that the common charges cannot be greater than a specific amount. 

Condo's can be tricker, but like anything else you have to have a strategy, set guidelines and move on if it doesn't fit your criteria. 

[Dorian Yanez]

Hi @Jeff Lamothe! Thank you very much. I have a few units located in different areas of CT and I don't touch anything that has HOA fees greater than $250. No trouble at all with the association on renting the units. That is something I ensure can happen before I move forward with the acquisition, if the unit cannot be rented then I move on.

[Jeff Lamothe]

Thanks for the input @Dorian Yanez. I never imagined that Connecticut had Condos with HOA fees less than $250. I just found a couple listings with HOA fees less than $200.

[Dmitriy Fomichenko]

Congrats @Dorian Yanez !