Buyers Scarce, Many Condos Are for Rent

http://www.nytimes.com/2007/01/16/realestate/16rentals.html?_r=2&oref=slogin&ref=todayspaper&pagewanted=print ^

[overtaxed_canadian]

By VIKAS BAJAJ

WASHINGTON — David Franco’s illuminated model of a proposed 10-story condominium tower dominates a sales center that, in spite of the “Now Selling” banner still fluttering outside, is conspicuously closed for business.

“We could have waited it out and kept pushing and pushing,” Mr. Franco said about the decision to abandon plans to sell 180 luxury condominiums with floor-to-ceiling windows offering views of the Washington Monument and Capitol Hill. “But it would have taken significantly longer.”

After six weeks of failing to lure more than a couple of dozen buyers, Mr. Franco and his partner, Jeff Blum, joined the builders of nearly 6,000 condominium units in the Washington metropolitan area who have decided in the last three months to recast their projects as rental apartment buildings.

Since the middle of 2006, the frenzied condominium market here and in several other big cities like Las Vegas, Miami and Boston has collapsed. Once roaring sales have slowed to a trickle, sparse inventory has mushroomed into a glut and soaring prices have flattened out and started falling.

In many cities, banks have significantly scaled back loans to condominium builders. Some have demanded that developers sell half or more of the units in a building before even beginning construction.

[paulat]

However, the US has a zero population growth if you exclude immigration

Why would you do that? Doesn't make sense to me.

[Xenalyte]

I've never understood why anyone would want to live in a condo building.

Condos are hotels with suites instead of rooms.

[durasell]

I've never understood why anyone would want to live in a condo building.





Because the things that are important to those condo people, such as location, aren't particularly important to those who like detached homes.

[Porterville]

"What an arrogant statement. "

It comes with experience, knowledge, and commonsense.

[dangus]

>> The official unemployment rate was 8.5% and the unofficial unemployment rate (people who had no further UE benefits so were no longer in the system) was 13.5%. <<

There is no "unofficial employment rate." The official unemployment rate includes not only those receiving unemployment insurance payments, but also those who are still working for work, but who no longer qualify for unemployment insurance payments.

[goldstategop]

Nothing wrong with condo life. I live in one in a small Colorado mountain town with the million dollar views. Small but adequate for my needs.

[goldstategop]

You own the entire space inside and can customize it to your heart's content. That can't be done in an apartment.

[goldstategop]

A lot of people don't want the hassle or the expense of outside maintainance. They'd rather enjoy what life has to offer. Now, if I was married, a home would have been a better investment for me. But its too much upkeep for a single person.

[No Truce With Kings]

"You own the entire space inside and can customize it to your heart's content. That can't be done in an apartment."

Good thing, too. Because a condominium is like herpes. Once you have it, you are stuck with it forever.

[SamAdams76]

Forever?

[Jane Long]

LOL...just curious, what led you to un-dead this 12 y.o. thread?

[SamAdams76]

I just bought a condo!