{"id":3759653,"date":"2020-05-04T10:46:32","date_gmt":"2020-05-04T14:46:32","guid":{"rendered":"https:\/\/newwebdev.wordpress-developer.us\/hauteresidence\/?p=3759653"},"modified":"2020-05-04T10:46:32","modified_gmt":"2020-05-04T14:46:32","slug":"top-tips-for-purchasing-an-oceanfront-condo-in-wailea-beach-from-expert-greg-burns","status":"publish","type":"post","link":"https:\/\/newwebdev.wordpress-developer.us\/hauteresidence\/top-tips-for-purchasing-an-oceanfront-condo-in-wailea-beach-from-expert-greg-burns\/","title":{"rendered":"Top Tips For Purchasing An Oceanfront Condo In Wailea Beach From Expert Greg Burns"},"content":{"rendered":"

\"Wailea\"Photo Credit: Shutterstock<\/span><\/p>\n

Owning a luxury oceanfront condo in Wailea is a dream come true for top-tier buyers who enjoy living close to the water. Here are a few tips on buying a condo in\u00a0Wailea<\/b><\/span><\/a>, one of the most sought after places in Hawaii.<\/span><\/p>\n

    \n
  1. <\/b>Find a licensed lender.<\/b> Unless you\u2019re paying cash, you\u2019ll have to secure financing for your purchase. If so, make sure to find a lender who is licensed in Hawaii. When buying a condotel, or a cross between a condo and a hotel, you will most likely be required to make a 30-percent down payment. Your real estate agent can give you a list of licensed lenders and mortgage brokers who know how the Maui market works. Keep in mind that the lending and escrow processes in Maui and the mainland are slightly different. Most notably, there are delays in completing these steps for those buying in the neighboring islands, since the final documents have to be sent to Oahu for recording purposes. This can take up to two additional days.<\/span><\/li>\n
  2. <\/b>Know what form of land tenure you\u2019re paying for.<\/b> There are two kinds of land ownership in Hawaii \u2013\u00a0fee simple and leasehold<\/b>.
    \nWith fee simple, you own the property and the land it stands on. With leasehold, you own the unit, and your neighbors own theirs. As a collective, you co-own the building. However, you don\u2019t own the land that the building stands on. Someone else, usually a corporation, owns the land, and you give them a lease payment each month. This is often the case for condo buildings. Over the lifecycle of the lease, your monthly lease payments will likely be renegotiated every five to 10 years. The lease will include terms stating when and how the lease payment amount can be renegotiated. In some cases, the new lease amount will be based on the property\u2019s value. When property values increase, lease payment amounts usually follow suit. There are many fee simple condo buildings that used to be leasehold properties. In these cases, the individual owners or the Association of Apartment Owners (AOAO) successfully negotiated with the landowner, thus converting the building to a fee simple property.
    \nHowever, if you don\u2019t negotiate land tenure, the lease can end and might not be renewed. With your building sitting on someone else\u2019s land, unit owners can be evicted and without any right to compensation. This doesn\u2019t happen often, but it is a huge possibility. Your realtor can help you discern issues concerning land tenure when buying a condo in Wailea. Exercise due diligence, and have the lease reviewed by a real estate attorney if necessary.<\/span><\/li>\n
  3. <\/b>Ask about AOAO fees.<\/b> Every condo building in Hawaii is required to have an AOAO, which is made up of unit owners responsible for running and maintaining the condo. As a unit owner, you have a say in the management and maintenance of the building. When it comes to AOAO fees, it\u2019s important to know how much you\u2019ll have to pay each month, what you get in exchange for the fees, which expenses are shouldered by the AOAO, and which costs will come out of your pocket.
    \nOther questions to ask include:<\/span><\/p>\n
      \n
    • How much are the building\u2019s operating expenses?<\/span><\/li>\n
    • How does the AOAO set the budget?<\/span><\/li>\n
    • Are the reserves well-funded, and how it is set?<\/span><\/li>\n<\/ul>\n<\/li>\n
    • All AOAOs are in charge of shared areas like the gardens, swimming pool, and the building\u2019s exterior, including the roofs and exterior walls.\u00a0<\/strong>When it comes to Condotels, your AOAO fees will cover cable TV, Wi-Fi, basic phone lines, and other conveniences that guests might expect. If your condo has air conditioning, you\u2019ll want to know if electricity is covered, or if you\u2019ll receive a separate bill each month.<\/span><\/li>\n
    • <\/b>Do research on management agreements with rental companies.<\/b> If you\u2019re buying a condo with the intention of renting it out, you need to have a good understanding of how management agreements work.
      \nYour condo can be managed in the following ways:<\/span><\/p>\n
        \n
      • You can manage it yourself, especially if you live on the island or have a local contact who can respond to emergencies<\/span><\/li>\n
      • You can work with an offsite property manager<\/span><\/li>\n
      • You can hire an onsite company<\/span><\/li>\n
      • You can hire an onsite company under contract the AOAO<\/span><\/li>\n<\/ul>\n<\/li>\n
      • You\u2019ll find reputable rental management companies in Maui.<\/strong> Moreover, it\u2019s normal for condo buildings to have onsite rental management companies. Before signing with a rental management company, find out exactly what you\u2019ll be getting, how much they\u2019ll charge, and if there will be additional charges that aren\u2019t included in your contract.<\/span><\/li>\n<\/ol>\n

        \"Wailea\"Photo Credit: Shutterstock<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

        Here are a few tips on buying a condo in\u00a0Wailea, one of the most sought after places in Hawaii, from Haute Residence agent Greg Burns. <\/p>\n","protected":false},"author":120,"featured_media":3759657,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[19954,19088,19950,297,13573,19951,13275,19953,16515,19952],"class_list":["post-3759653","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","tag-aoao-fees","tag-greg-burns","tag-greg-burns-realtor","tag-hawaii","tag-hawaii-real-estate","tag-isle-luxury","tag-maui","tag-oceanfront-properties","tag-wailea","tag-wailea-beach"],"acf":[],"yoast_head":"\nTop Tips For Purchasing An Oceanfront Condo In Wailea Beach From Expert Greg Burns<\/title>\n<meta name=\"description\" content=\"Here are a few tips on buying a condo in\u00a0Wailea, one of the most sought after places 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