When on the hunt for the perfect townhouse or condo in the Seattle area, you need to take into consideration the HOA you will become part of. Knowing the differences between a condo and PUD homeowners association could alter which type of property you want to purchase.
Great question asked by two different clients today. What’s the difference between a PUD and a CONDO HOA?
First and biggest difference is that a planned unit development homeowner association and a condominium homeowner association: So, with a PUD you own your land and with an HOA you do not.
A lot of times you have to fix the outside of our home in a PUD and a condominium you do not because the condo association owns the land. So generally speaking your fees are a lot higher in a condominium versus a PUD.
Interesting fact! A townhome can be in a PUD or a CONDO HOA. The only difference is the condo HOA owns your land, the PUD you own it, so there’s a lot less area maintenance and a lot less fees.
For example, today I showed two townhomes not more than a couple of miles away form each another. One in a PUD and one in a condo. The only difference was the fees. The fees were $181 in the PUD and $495 in the condominium HOA. WOW!
They both had pools, play areas, barbecue areas, park like setting, beautiful. What does this mean for you? You might qualify for more money if you were to go about getting a home in a PUD versus a condo.
The good question to ask your loan strategist is, what’s your max monthly payment? At the bottom of my website, I have a little loan calculator that tells you what your monthly payment will be for your loan.
All you need to do is factor in the few things your loan strategist tells you, like homeowners association dues, your taxes and your insurance.
Call me when you’re ready to purchase a home in the King County? Let’s get to work! Let me know if you have any questions. I’m around when you need me.