real estate and lawyer ?s

[rogman]

Second homes, particularly condos, typically are not a great investment. Expenses will more than eat up any increase in value you might see. There are always exceptions, however. Personally, my place at Killington is my favorite crappy investment. I.e, there are other reasons to buy. Very few properties have moved in the last year or so, so it remains a buyers market, but it appears to be improving (My metric is the number of condos listed at skicountryrealestate.com, currently at 131, and lower than last year at this time). However, "buyers market" only matters if the person you wish to buy from is really interested in moving their property. Everyone has a different rock bottom price.

Expenses, condo fees, etc. obviously make a big difference. You really need to look at total cost of ownership. Mountain Green is mentioned as having high fees, but they provide a lot of service and services. For example, cable and WiFi are included. They are not included at my current residence. Different associations use different formulas for determining the fees. At Mountain Green they are based on square footage, as a result you pay the same fee whether you are in building 3 (the front building where the amenities are located) or in buildings 1 or 2. Other associations use number of bedrooms.

One interesting analysis is to look at various on mountain condos on a cost per square foot basis. I did this about a year ago based on the then current listings, but I doubt they've changed significantly since then:
Fall Line $240
Glazebrook $220
Highridge $260
Topridge $275
Sunrise $200
Mt Green (Building 3) $160
The Lodges $320
Trail Creek $260
Trailside Village $235
Edgemont $180

[RENO]

The main thing I tell people who are interested in buying property at a resort is: If you can't afford to pay for it without renting it out then you shouldn't buy it. There's no guarantee that you will be able to rent it out enough to supplement the costs. If you absolutely depend on the rental income to justify the purchase than you're asking for trouble...

[Bubba]

The main thing I tell people who are interested in buying property at a resort is: If you can't afford to pay for it without renting it out then you shouldn't buy it. There's no guarantee that you will be able to rent it out enough to supplement the costs. If you absolutely depend on the rental income to justify the purchase than you're asking for trouble...

Up to a point, that's true. However, in a situation like Killington where there is a long rental history, it's certainly a fair bet that certain properties will rent regardless of economic conditions. When I bought my place I looked at the rental history and figured I would earn a certain amount on average each year, some more, some less. I then worked around that number to see what my economics were. I could certainly afford to have a year where I only earned 50% of my baseline estimate but I probably wouldn't have made the purchase if I had to assume zero rental income. Because I could count on some income based on the rental history, it was an easy decision.

[tyrolean_skier]

The main thing I tell people who are interested in buying property at a resort is: If you can't afford to pay for it without renting it out then you shouldn't buy it. There's no guarantee that you will be able to rent it out enough to supplement the costs. If you absolutely depend on the rental income to justify the purchase than you're asking for trouble...

Circumstances could change from when you first purchased the condo (i.e. loss of a job). That would make you rely more on rental income even if when you originally purchased it you didn't need the rental income but it was nice if you could get some.

[RENO]

Luckily when we bought the prices were really low and we didn't owe a lot on our primary home. We wouldn't buy anything with the current economy the way it is and at the current prices property is going for at K even though they've dropped a good amount in the last year.

[MarieM]

Luckily when we bought the prices were really low and we didn't owe a lot on our primary home. We wouldn't buy anything with the current economy the way it is and at the current prices property is going for at K even though they've dropped a good amount in the last year.

I was surprised to read that a two-bedroom, 1.5 bath at Mountain Green was 79k. Seems like a good deal.

[CAPBOY]

Luckily when we bought the prices were really low and we didn't owe a lot on our primary home. We wouldn't buy anything with the current economy the way it is and at the current prices property is going for at K even though they've dropped a good amount in the last year.

I was surprised to read that a two-bedroom, 1.5 bath at Mountain Green was 79k. Seems like a good deal.

I'm a buyer at $50 G.

Two attorney's in this town? NICE!

[RENO]

I remember looking at a bunch of condos before we bought ours end of 02. We looked at a few Mountain Greens also. I remember one was a studio (I think) on the top floor in the main building and it was $34,500. There were many 1 bed MG's under $40,000. Everything really skyrocketed in price from early 03 until early last year. That's amazing how far down MG's prices have fallen that a 2 bed 2 bath is $79,000! I don't think the other condos have fallen nearly that much. Our development is down about 15-20% from their highs.

[MarieM]

We're looking at condos in Southern NH right now, and I know that selling price isn't everything; but still 50k seems like a good deal if you're already spending money on a hotel room on a regular basis...

[lilywhite]

Ouch! hotel room?? Get out and rent somewhere if you are not ready to buy.
50k for a condo in S NH???? Would definitely want to see that, as that is typically bedroom commuting to Boston, from what I hear (and have seen) from my cousin in Nashua...and I did work in Boston previous to RE
Most condos I see in CT...more like 120k...so I think 50 might be a real warning flag, depending on what you are willing to settle for.
Big thing down here..condo fees. You can buy a house, and hire someone to mow your lawn, paint instead....
if you are looking, do get prequalified for a mortage first. I am not licensed there. All I can say is you are your own worst enemy if you do not:)
money first.
good luck:)

We're looking at condos in Southern NH right now, and I know that selling price isn't everything; but still 50k seems like a good deal if you're already spending money on a hotel room on a regular basis...

[Geoff]

I remember looking at a bunch of condos before we bought ours end of 02. We looked at a few Mountain Greens also. I remember one was a studio (I think) on the top floor in the main building and it was $34,500. There were many 1 bed MG's under $40,000. Everything really skyrocketed in price from early 03 until early last year. That's amazing how far down MG's prices have fallen that a 2 bed 2 bath is $79,000! I don't think the other condos have fallen nearly that much. Our development is down about 15-20% from their highs.

Mountain Green has always been the most volatile property at Killington. It did the exact same thing in the 1989-1990 collapse.

Based on what happened back then, I expect there will be a 2 or 3 year lag at Killington before we see the true bottom. It will take that long before we start seeing foreclosure auctions and bank sales. There's a reason why nothing is moving today at current listing prices.... the prices are too high.

[Nevada West]

Ouch! hotel room?? Get out and rent somewhere if you are not ready to buy.
50k for a condo in S NH???? Would definitely want to see that, as that is typically bedroom commuting to Boston, from what I hear (and have seen) from my cousin in Nashua...and I did work in Boston previous to RE
Most condos I see in CT...more like 120k...so I think 50 might be a real warning flag, depending on what you are willing to settle for.
Big thing down here..condo fees. You can buy a house, and hire someone to mow your lawn, paint instead....
if you are looking, do get prequalified for a mortage first. I am not licensed there. All I can say is you are your own worst enemy if you do not:)
money first.
good luck:)

We're looking at condos in Southern NH right now, and I know that selling price isn't everything; but still 50k seems like a good deal if you're already spending money on a hotel room on a regular basis...

Great advice.....