Red Flags to Look for When Buying a Condo

Buying a Condo

Red Flags to Look for When Buying a Condo

Purchasing a condo can be a great investment, but it’s important to always know what you’re getting into. Being aware of red flags when buying a condo can help you make smart decisions and ensure the best outcomes.

Poor Financial Documentation

Before committing, request a resale package from the condo association. This package contains important financial documentation, such as bank statements and reports on profit and losses. If the association doesn’t have these documents or won’t provide them, that’s a red flag.

High or Low Fees

Avoiding properties with astronomical fees is a no-brainer, but also be wary of low fees that seem too good to be true. Inquire whether the association expects fees to increase over time, and review contracts carefully to avoid fees creeping upward once you’re locked in.

Inadequate Reserves

A reserves account is the association’s savings for unexpected projects or repairs. If the reserves seem too skimpy, it may be a sign that the association isn’t well-prepared, or that they may expect to charge you higher fees in the future to compensate.

Staying cognizant of red flags when buying a condo is important for protecting you and your savings. Knowing what to look out for can save you money and make the experience much more pleasant.


Getting the Right Coverage for Your Marina

When you’ve got a marina or yacht club to run, you have to think about the needs and risks associated with your business on both land and water. Your facilities and equipment are exposed to damages that are specific to maritime-based businesses and operations. Additionally, your employees, club members and other personnel expect you to have the right insurance policies in place that protect the various aspects of your marina or boat club.

Understanding my Insurance Needs

In addition to typical coverages for property and worker’s compensation, you should also have sailing club liability coverage. Such a policy should be customized to address typical marina or sailing club considerations:

  • Marina facilities and grounds
  • Hull and liability protection for watercraft fleet
  • Regatta liability protection
  • Sailing school education
  • Chartering
  • Club member property

Your specific business may also benefit from a policy that also addresses Jones Act Coverage for workers, Race Management Errors & Omissions, Directors & Officers Liability and other protections.

Working With the Right Insurer

While there are many insurance providers out there, it’s best to go with one that specializes in covering marinas and sailing clubs. You don’t want to work with a provider that’s willing to take your money but can’t offer guidance or products that truly keep your operations covered.