What Does It Cost To Own A Home Or Condo In Palm Springs California?
We do a few considerations here that may differ from where you live.
When considering the purchase of a vacation or retirement home in Palm Springs the cost of home ownership is a very important consideration. Why? Well let’s say you buy a home for retirement purposes and can afford the payment and taxes but you didn’t know the condo has an HOA fee. That could shoot a big hole in your budget. Or let’s say you forgot to estimate Air Conditioning costs here in the desert. Big Oops! This post will help you to ask the right questions before you make a big mistake buying your retirement or vacation home.
Taxes, Utilities and Insurance
Always find out what these costs are up front. Property taxes are about 1.25% of the purchase price and are easily calculated but what about other assessments? Those are laid out early in the offer process and are easily determines or easily overlooked. When in doubt, ask your Realtor!
Utilities costs are available via the former home owner, if available, or the Utility company. Or, a neighbor in a similar home will be able to give you ballpark figure on AC costs in the summer. Ballpark figure use $3.00 to $6.00 per day depending on the house.
For insurance costs, contact your agent for an estimate. One thing to really remember is if you pay cash for your home, an Earthquake policy is a very good option.
Cost of Living
Here in the Coachella Valley, our living costs are in line with those in other parts of inland Southern California but not as high as Los Angeles or San Diego. I find my living costs are average here for food, auto insurance, entertainment and other purchases but a bit higher for gasoline. I also find I drive less here so the costs may even out for most.
Condos and housing developments have something called a Homeowners Association or HOA. The range of fees varies widely depending on services and features so be sure to understand what they are and what they include. That list includes such things as trash collection, cable, exterior maintenance, roof repairs, etc. Also, common areas, community pools, golf courses, tennis courts, etc. These types of amenities may add to the cost but if you use them as part of your living style, they me be well worth it.
What is a land lease? In Palm Springs, many of the parcels of land, (about half) are on Indian owned land. More condos are on Leased land and more homes are on Fee land (land that you own). Know this: Be sure you set your purchase price based on the fact of the type of land. Homes on Fee land cost more because you own the land and those on leased land are accordingly lower but you have a lease payment to contend with. Know that and remember when figuring your living budget.
So there you have it, a primer on the cost to own in Palm Springs, Ca. and remember this, a good Realtor is your best source of information when it comes to answering these questions.
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Buying or Selling Palm Springs Real Estate?
Buying or Selling in today’s real estate market is a challenge and a process that is easily accomplished with the help of a Palm Springs real estate agent focusing on the neighboring desert cities. You will need an expert who has lived in the area, knows the lifestyle and the unique housing market.
The market for real estate in the desert is alive and the values are exceptional especially for those who are looking for an ideal investment or a vacation/retirement property. We have many Palm Springs real estate properties available for every need, budget and amenity list.
Buyers: Are you searching for your primary residence? We have a variety of Palm Springs homes for sale and have what it takes to get you settled in the neighborhood of your choice.
Selling your home? Your home selling experience will be one that is easy, friendly and professional. Our mission is to offer outstanding service while utilizing the best practices and Internet technology available. We are totally connected to the Internet and will market your home on every venue available! Results is what you expect and results is what you will get.
If you are planning to buy Palm Springs investment property, or property in the surrounding area, we have the staff partners who will help with any project or property management tasks while you are away. We have helped with the small properties all the way up to the multi-million dollar projects.
I’m not here just to sell you a home. I’m here to help you find the dream home you’ll love then make it yours!
For more information on how we can best serve your Palm Springs Real Estate and surrounding area needs give us a call at 760-413-2871.