Looking to downsize to a two bedroom two bath condo.....

[a kennedy]

Have contacted a realtor for details on a couple of condos to see,....he sent me this back.......and what do you think I should take from this statement?

"I’m not sure if the association is “lendable” right now or not with so many units for sale. The view are awesome of course."

[greatauntoftriplets]

1. Sounds like the building had a lot of foreclosures and getting a mortgage might be difficult.

[LWolf]

2. Honestly?

That the realtor is sub-literate. I'd ask him for clarification.

[pnwmom]

28. It just means that lenders are unlikely to give a mortgage for that property.

That isn't uncommon when too many properties are either in foreclosure or rented out.

[shraby]

3. What state are you in?

[a kennedy]

5. I'm in Minnesota, but the condo is in Wisconsin.....

[shraby]

27. We have some for sale here along the lake in Wis. at Manitowoc

and Two Rivers. Check them out. Most have few restrictions..allow pets etc.

[Uncle Joe]

4. That development may have too many foreclosures or a too high ratio of rental units to owned, which

would preclude FHA from insuring a mortgage on it.

Thanks for the thread, a kennedy.

[a kennedy]

6. Now that you say that......it's a property that has all business on the lower level and condos

on the upper two levels. All the businesses on the main street are empty..... am terribly stupid or what does this mean?....can we get a condo cheap?? or will we have trouble?

[DURHAM D]

11. Don't do it.

You can probably get a condo cheap but your monthly assessment will go through the roof. Expenses for the association will remain constant or increase and meanwhile the number of viable payers decreases and thus the expenses fall into fewer and fewer laps.

The agent is doing you a favor as most would get you under contract and then explain the problem.

[kelliekat44]

25. Noooo.. businesses out of business in Wisc.? All those tax breaks and such...say it ain't so.

They don't have unions to contend with thanks to Walker. What then is the problem? I thought the no taxes, no tax hike, no unions would have businesses booming......?

[Warpy]

26. With all that empty retail space on the bottom? Vandal magnet

and I'm talking about the type of vandal who shuts the water off (or not) and strips out all the copper plumbing and then shuts the power off and strips the wiring. It they do a really, really bad job, you won't just be without water and power, you'll be in a burning building.

I'm sure the property is a honey for the money but maybe you need to pass this one up for now.

[Gormy Cuss]

8. ^^This^^^

Lenders don't like either of those situations.

Having read the OP's second post, I'd avoid this building like a plague. There may be serious cash shortage problems.

[CountAllVotes]

7. Watch out for the Home Owner Assn. fees that are guaranteed NOT to go up

For that is a pile of sh*t.

I've seen more than one person get sucked into a few of these condo deals.

None of the people that I personally know is happy as they do not own the land the condo is on, only the walls and the insides of it and YOU pay some ASSOCIATION to manage every thing for you at a nifty price.

You might be better off renting and keeping you eye open for a small house perhaps?

Best of luck and I hope that the negative tone to these condo associations doesn't upset you. The people I knew that got into these deals were close family members and it was shameful, plain shameful.

[a kennedy]

9. *nodding* yah, we're kinda suspicious of it.....but want to just see it....

Will keep our eyes and ears way open on ANY deal.....we're actually just curious they look beautiful in pictures.

[SheilaT]

10. Have you visited the condos in question?

Talked to some of the owners? Asked to see all the paperwork that exists on how it came into existence, what its balance sheet is, the HOA rules?

If all you have so far is that weird statement from the realtor, you have a long way to go.

[a kennedy]

13. No, just drive by them once a month or every two months....

only started thinking about downsizing, and this place has always been a favorite of mine just driving by. So you're right, will check it out.....we're going by again in August and he said I should call him a week before so we can set up an appointment to view the condos.

[SheilaT]

14. Sounds like a good plan.

Talking to your potential future neighbors ought to be enlightening.

[a kennedy]

16. Thanks, the more I hear about it......the more I'm getting skeptical.....

[oldandhappy]

12. A certain number or percentage of units need to be owner occupied before bank will lend.

Sounds as if you are looking in a condo association where there are not enough owner occupied units to qualify for mortgages. You would have to buy cash. Or you can take a mortgage on another piece of property you already own and use that money to purchase the unit you want. Better be a very good price given that the association has so many units as rentals or empty.

[a kennedy]

15. Here's the building.....

http://www.eagleislandview.com/ with views here: http://www.zillow.com/homedetails/440-Water-St-UNIT-210-Prairie-Du-Sac-WI-53578/2107487324_zpid/ can you see the business down on the main street that are empty?? there are 27 units in the place total..... but NO business at all.

[PADemD]

17. Is this building on a flood plain?

It's awfully close to a river.

[a kennedy]

18. No...it looks like it is but it's not.....picture is deceiving...

But thanks for worrying about that possibility.

[oldandhappy]

19. It is a lovely unit.

I can see why you are tempted. Have you actually been there -- seen it -- talked with other owners -- walked two blocks in all directions -- checked the selling statistics for the recent five years ??? I would like to live there, smile. Is there bus service to shopping? I do not remember where this is. Will have to go back to your original post. Great find.

[a kennedy]

22. It's in walking distance to EVERYTHING !!!

Very small downtown...and everything IS with in walking distance.

[oldandhappy]

20. OK Wisconsin

I do not know anything about Wisconsin except of course the governor! Yes, go visit and do some legwork. Beautiful setting. Be sure you check into the management/HOA situation. I moved into an HOA situation. They piss me off regularly but that is partly because I am so independent and because I am not used to an HOA. They do take care of the place. Best wishes.

[SheilaT]

21. The pictures certainly look quite nice.

Try to find out why there are no businesses in the ground units. There may be a reason that wouldn't affect your willingness to buy. Sales do seem to be very slow, if this was built in 2008 and so far only 16 of the 27 units have sold. Of course, considering that it was completed right before our little economic downturn, that may explain a lot.

[a kennedy]

23. Yes....that is what I'm hoping...2008 downturn.....but is my dream place.

I want it bad, and my inner self is saying.....buy it.

[GusBob]

24. I think this is what the agent is trying to say

Scott Walker has done nothing to improve Wisconsins economy