Posted by Dave in NOLA on February 06, 2003 at 12:46:17:
Nick,
I flip condos for several reasons. Mostly, it is for the insurance considerations. When you look at a SF home, any number of expensive repairs (roof, plumbing, electrical, etc.) can be needed. And you might not even know it when you buy it.
With a condo, the general rule is that the owner is responsible for repairs from the drywall-IN with the condo association being responsible for repairs from the drywall-OUT. In other words, the condo association handles the big stuff (roof, plumbing, etc.) and you handle the cheaper, more cosmetic repairs (paint, tile, etc.). Also, flood insurance, pest insurance, fire insurance, etc are all covered by your HOA fees.
In my opinion, this makes condos ideal for flipping and rehab. Also, there is a large market of first-time buyers for 2 bedroom condos where you generally want to buy at least 3 bedrooms in the single family home market.
Best of Luck!
Dave