For many people, townhomes combine the convenience of big city living with the privacy of owning their own home. Therefore, this type of property is frequently sought after by real estate investors. Though a townhome might seem like a good investment, there are also a few potential disadvantages you should be aware of. Keep these pros and cons in mind before you start investing in Irvine townhomes.
Townhomes Are More Affordable Than Single-Family Homes
Townhomes tend to have an efficient use of space because they are part of a bigger building. Since townhomes are often on a smaller area of property, they are typically cheaper than buying single-family homes. The more affordable nature of townhomes often means they are not as high of an investment risk. Because financiers see townhomes as a safe investment, they often offer favorable loan terms for buyers.
Townhomes Involve More Bureaucracy
If you have only dealt with single-family homes before, you need to be prepared for a bit of extra paperwork when investing in a townhome. Townhomes are part of a larger property maintained and run by a company of all the townhome owners in your development. Purchasing the townhome means you may need to agree to certain bylaws and pay certain fees for onsite maintenance, so expect to take a little extra time when closing on your investment property.
Townhomes Are Often in Great Locations
Townhomes are typically built in more affluent, urban areas, so they are normally situated in ideal locations. Most townhomes are near public transportation, shops, restaurants, and entertainment complexes. These features often attract more buyers and renters, which is useful when investing in real estate.
Townhomes Can Be Harder to Renovate
Since you share walls with your neighbors, renovating a townhome can be slightly tricky. Make sure you get advice from a contractor experienced in townhomes to avoid accidentally damaging your neighbors’ property. You may also need to make sure exterior renovations comply with townhome association rules. This can make renovations take a little more time and effort, but it is typically not a huge disadvantage. Though you cannot expand the size of the townhome, you can still do many renovations to update the house and increase its value.
There Is Always a Strong Market for Townhomes
The convenience of low maintenance, nice locations, and communal living make Northpark Irvine townhomes for sale highly sought after among young professional couples, older singles, and recent retirees. Townhomes often end up with multiple interested buyers, allowing you to set a higher sale price and make a bigger profit. It is also often easier to find interested renters for a townhome if you want to hold onto your investment property a little longer.
From Turtle Rock to Shady Canyon, Irvine townhomes for sale are a hot commodity right now. To learn more about the advantages of owning a townhome or to see the latest local listings, get in touch with OC Residential today. Call 714-454-6304 today to schedule an appointment.