Apartment: Research your needs

Research your options and needs before buying an Apartment

Although apartments are probably the most popular first-time buy for many young singles and couples because of their small size and lower price, apartment living also appeals to a sector of the home-buying public who shun suburbia and the 'little boxes' lifestyle. As a result you will also find some of the most luxurious living accommodation in this category of housing.

The 'freehold' for the whole property is normally held by the developer or the landlord who then leases the building, usually in chunks of 99 years to buyers of individual apartment units. This 'leasehold' can then be bought and sold but at the end of the 99 years the property reverts back to the owner of the 'freehold'.

Apartment buying may appear straightforward but there are several special wrinkles that can confuse the unwary and make the process rather complicated.

When you are actually buying an apartment the number of different options may be confusing and it can be difficult to decide which is your best buy. The Buyz123 three step guide - Research, Evaluation, Purchase - is designed to assist you in this buying process.

The Research step firstly involves investigating essential features of apartments available on the market, and secondly identifying your actual needs in an apartment.

In the Evaluation step you focus on how well the different features of individual apartments meet your needs, and then how well the most suitable apartments compare in detail, one to another.

Finally, in the Purchase step, the issues considered are: what to look for when actually buying the an apartment., what questions to ask and what information you should seek on warranty, customer service, and after-sales support.

As you work though the Buyz123 purchase strategy you will clarify your thoughts about your intended purchase, confidently compare apartments one to another, and then purchase an apartment. that really does meet your needs.

Step 1: Research

In order to end up with the apartment best suited to your needs, you have to clearly understand what you are looking for and what options are available to you. This is done by researching in two areas.

Firstly, you research the market to find out what kinds of apartments are available, familiarizing yourself with the different features, styles and price ranges etc. Secondly, you examine your own unique requirements in an apartment.

Research the market: Apartment essentials

The first part of the research step is to investigate just what's available in the apartment market. The range of options can seem daunting, but you can make a good start by understanding the following major features:

Type: Studio apartments offer single room living whereas 1 to 4 bedroom apartments provide separate sleeping accommodation. Loft apartments are often large open high-ceilinged spaces in converted warehouses. Penthouse apartments on the top floor of a building are generally the most luxurious whereas basement apartments, being partially below ground may have less natural light. There tend to be more 1 and 2 bedroom apartments on the market than any of the other types.

Management fees and rules: One of the concepts of apartment ownership is that the maintenance of the external fabric of the building, the public spaces like stairways and lifts and the roof are shared between all the apartment owners in that building. Management fees vary considerably and, as an annual charge, should be considered alongside the buying price. Most apartment buildings have rules of occupancy; some do not allow children or pets which may or may not be an attractive option depending on your situation or your life-style

Location: Apartment buildings can be found anywhere in a town or city and local knowledge will advise the most appropriate districts to consider. Proximity to amenities such as schools, shopping areas, transportation and leisure facilities will also be important considerations. Typically apartments with a view will attract higher prices.

Cost: A studio apartment and one bedroom apartment will generally sell for around half the price of a 3 or 4 bedroom apartment in the same district and a luxury penthouse can be twenty times or more than the price of a studio. You may pay twice the price of a conventional 4 bedroom apartment for a 2 bedroom loft apartment in the same part of town.

Research your needs: Questions to ask yourself

Now it's time to determine what your requirements are in an apartment. For example, will you use the apartment only for when you are in town on business?

You can start this process by considering the following questions - as well as any others you think of yourself - and recording your answers.

Have I lived in an apartment before?
	If you have lived in an apartment, work out what you did or didn't like about the apartment. You may be looking for one exactly like it, hoping to upgrade, or even trying to avoid any particular features that you found inconvenient.

How will I use the apartment?
	It may be your permanent residence 365 days a year, or only used as a weekday alternative to a hotel room. Will it be a family base in the city used by different family members at different times?

What is my buying strategy?
	Is this a short stay option, say a couple of years, to allow you to move up to a larger property? Or, it may be a retirement option giving you access to good amenities. Is this your chosen lifestyle and is expected to last you for decades?

How important is location?
	You may need quick and easy access to work and specific leisure amenities. Or you might be attracted to a particular area of the city for status reasons.

How many bedrooms do I need?
	Work out how many double and single bedrooms will meet your family and visitor needs in a typical year.

What type of layout will meet my lifestyle needs?
	Separate kitchen, dining and lounge areas might suit your way of doing things or an open plan design could be more your style.

How much storage space is enough?
	Don't just consider what you already own; many first-timers own very little. It's better to consider your storage requirements after a couple of years of accumulating possessions.

Will I need a parking space or garaging for a car?
	You may not own a car yet but you could end up needing parking space for one or two cars in the future.

Is a daytime outdoor space essential?
	You might consider a balcony space an important element of the design, or merely a nice-to-have addition.

Understanding your needs is the key to a successful purchase and you can revisit your list of needs at any time during the buying process.

Once you complete this Research step, having informed yourself about the essentials of apartments and identified your needs, you are ready to move on to the next step: Evaluation.

Video Links

Setting Goals To Buying Property - Info
Video discusses tips for buying property. (4m 8s)