I am thinking about purchasing a condo in Corpus. I have heard that these are netting $22K per year. Rates are $1,100 per month for the Winter Texans and $185 per night during the summer and spring. Would 50% apply? I know that a lot of banks won't touch these kind of deals because its a condo that can be rented out daily. Where would be a good place to find financing? How much would I need down? The usual 25%? Is this a good deal? Should I ask for an income statement from the seller? If the unit is netting that much or close to it why would the seller want to get rid of it? Hopefully its cause of the D's...Sounds morbid but oh well.
Another important factor to add is that there is a Schlitterbahn planned to be built in 2013 very close to the subject property. When this happens I think the demand for units will increase significantly. The one thing I hate about condos is COA and special assessment fees. Plus I have a feeling this property is located in a Flood Zone. So I know lenders will require Flood insurance. There is definitely a lot of rental income potential but this unit won't come cheap. I've also heard that being so close to the beach and Gulf, the AC units need to be replaced often because of corrosion. Also, the condominiums are advertised on Apartmentguide.com. This is where I got the rates.
