Let’s take a look at the best markets to invest in condos. So many of us have been looking into condos for years, while others are just jumping in now. It is a desirable investment to look into for countless reasons.
Even if we’re not looking to sell our primary residence, the condo Market is too exciting to leave alone. Some cities have more inventory than others but let’s take a good look at these markets in some significant u.s. Cities.
New York City is a notable player. You can’t help, but to get caught up in the view of the skyline. The president of a large real estate agency located in the Manhatten area, indicated in their New York City, end of year report, a decline of 17% in condo prices. His report focused on Condominiums priced at about 4 million dollars. The reason for the drop in price was almost half of the condos recently sold were from new floor plans and contractors. It led to an increase in the number of days on the market for older units. Depending on whether your cup is half-full or half-empty. You can look at this in many ways. Possibly to negotiate a lower price and score an excellent deal. In my brother-in-law’s case, he did some digging and found a terrific place through a foreclosure. There’s a lot of things involved in these transactions, so you may want to learn more about foreclosure.
Chicago. If you plan to move to a windy city like Chicago, things have been a bit more stable. The stability of pricing still affects the market because a lot of the sales were eventually to end-users. So this tends to keep the pricing in check. The inventory of luxury condos went up 20% and is likely going to continue trending in that direction. The exciting thing about this demographic is a lot of these people want customisation and construction. It certainly includes the downtown area where there are beautiful views of the lake. Downtown Chicago is where a lot of people want to be as it’s close to shopping and the nightlife.
Miami is a unique flavor because it draws in a lot of large International companies, This attracts a lot of wealthy people wanting to spend money on luxury items. Miami is still where the affluent come to play. The city does have a significant amount of inventory mostly due to the fact of a lot of new construction. The inventory numbers could prove a little tricky if you’re looking to do a quick flip depending on the price point. In the Miami area, A lot of the upper-level condos don’t seem to be affected by this. I have a friend who found a great property with a small condo plex on it. The problem was the deal tied up a lot of his cash flow. Cash flow isn’t the only detail that can be a problem, and he also spoke a lot about what real estate investors should know as a result of this.
San Francisco has shown a significant Improvement in some areas despite its seasonality. A lot of people tend to purchase in April, May and also just before October. There’s been a considerable shift in San Francisco to convert some of the older commercial buildings into some nice condos which are great for the city and has boosted overall value. It has led to an increase in sales for the mid to high-level markets. However, the luxury market segment is a bit weaker now. If the new construction slows, this can, in turn, boost the luxury Market causing it to recover very quickly.
So in conclusion, it depends on which segment of the market you’re looking to go after. How long you’re looking to hold onto the condo and the strength of the American dollar.