Condominium units are no longer just your regular living space. Now, more and more unit owners are converting their properties into mini-hotels where guests can stay in a short period. Condotels, as what people refer to it, are an engaging property investment that aims to turn a condo unit into a place where travelers can stay.
Most condotel units are individually owned. They are an excellent way for owners to generate passive income by having their properties rented. Depending on the season of the year and the location of the property, converting your condo unit into a condotel can help you earn a lot of money.
A practical investment
A condominium situated in the right location is an ideal investment. It is especially true if you can get the property at its lowest price. A condominium has common areas that all residents can freely access.
When you buy a pre-selling condo in Capitol Commons, for example, you are purchasing everything inside the unit. Meanwhile, you get to share and manage everything outside the unit with a group of other owners. Every resident is obliged to pay fees to the homeowners’ association to maintain the facilities shared by everyone.
The rising popularity of condotels
Experts say there are several reasons the condotel business has become popular over the past couple of years. In the case of people working overseas, owning a condotel unit can serve as their home every time they return to the country.
Aside from the accommodation, owning a condotel unit means that you do not have to worry about maintaining anything. That is because the management will take care of all the shared amenities for you.
People invest in condominiums because they see an enormous opportunity to earn passive income. Since many people no longer have time to go out of town or have the means to go to a luxury hotel, staying in a condotel is an excellent alternative option.
Choosing the right condo unit
Buying a condo is a serious financial commitment that requires much thought. That is why you need to consider several factors before choosing the right condo. If you are planning to rent out your condo unit for a short period, you need to select a property that has an ideal location. The location determines the comfort and convenience that your guests will feel whenever they want to go out.
You also need to keep tabs of the developer of the condo, too. There have been cases of some condo projects that got halted because the developer ran out of funds to continue with the construction. So, you need to be wary of these things before agreeing on anything.
There are mainly only two reasons people purchase a condo. One is to have a place to stay in, and two is to utilize it for investment. Either way, investing in a condo is a huge financial decision. So, you need to think about it carefully to get the most out of your money.