You probably would have never known
it, but there is a good chance the last time you stayed in a hotel, you
may have actually stayed in someone's condo hotel unit.
A Condo Hotel is most simply described as a condominium unit that is
located within a hotel or motel providing the individual unit owner with
some or all of the perks and amenities that the particular hotel or motel
has to offer. While the individual unit owner is not occupying their unit,
it can be rented out to regular hotel guests, thus generating the
individual unit owner rental revenue to offset their monthly ownership
costs.
ARE CONDOTELS ALL THE SAME?
No, condo Hotel units vary greatly in size, amenities, and operating
rules. Some are two-bedroom suites with full kitchens while others are
simple economy hotel rooms with a micro fridge/microwave. Prices can range
from $ 100,000 to over $1,000,000 per unit.
Many people often confuse time shares with Condotels which are very
different property types. When you own a Condo Hotel, you own a piece of
real property or real estate. A condo hotel owner has a mortgage and is
required to pay real estate taxes just like they do on their own primary
residence. Time Shares are more like rental agreements.
The Condo Hotel concept has been around for decades in many countries all
over the world, including the U.S., but did not start truly catching on in
the U.S. until the late 1990's. Since then, demand for Condo Hotel units
has increased dramatically and so have their values.
WHY HAVE CONDOTELS BECOME SO POPULAR?
Condotels offer a very unique "investment" opportunity as well as a great
second home/vacation home destination for you and your family.
Headache Free Investment - Most units are attached to hotel projects with
a veteran property management team that take care of everything from
maintenance to renting your unit.
Very low monthly cost - Monthly rental revenue generated from your unit
can offset your monthly ownership costs or may even provide you with a
positive cash flow.
Vacation Destination - Your condo hotel unit can be used as a great get
away destination for you and your family. On average, most people stay in
their units about two weeks a year. The amount of time that individual
unit owners are allowed to occupy their units varies from complex to
complex. This can range from two weeks a year to 6 months a year depending
on the complex and local zoning ordinances.
Appreciation - Over the past few years, the huge increase in demand for
condotel units has given them enormous appreciation value.
British - Brits Foreign National
