Is it good/bad to buy 55+ community? Any pitfalls?

I see one condo, mainly for my son, at 55+ community. I am eligible being 55+, but this is mainly for my son (in 20s) to own and stay.

If my son moves out, this becomes his rental unit.

The add says.

Security Features: Fire System (Sprinkler)
Special Features: Wheelchair Access, Wide Halls/Doors (3 Ft.+)

Property Information
Ownership Type: Trust
Restrictions: HOA Rental Restrictions, Pets (Restrictions), Pets (Rules), Senior Community (1 Resident 55+)

Is it good/bad to buy 55+ community? Any pitfalls?

Does it require occupant to be 55+? If not, you’ll have HOA issues,

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I am eligible being 55+, and I will be one of the owners.

Just read the internet, looks positive

Ha, one day, I can retire in that condo !

Only negative is if they object young person living there, there is no point of getting into

Does your 20 year old son really want to live in a retirement community? Won’t dating, friendships, developing a sense of community be difficult? Plus, I would imagine the 55+ who moved into a community developed specifically for their age group could be angry that a 20 year old has moved next door.

My suggestion would be to buy him a place in the city or at least near a little downtown area. Then he can enjoy life around people his own age before he has kids and needs a suburban 3 bedrooms house with a yard.

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After reading the two document links, I was thinking exactly same. No doubt, he may eventually drop this idea.

True and right.

The main reason I looked into this condo is that it is near by downtown, walk-able distance to bus stand, railway station and downturn. Then, I found it is 55+ community.

On any case, my son won’t like 55+ community, for sure.

Now the thread is for information purpose only

Usually one resident needs to be 55+ and under 55 has to be spouse, not children. But obviously depends on exact HOA

If they have too many under 55 residents, lose tax status

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Come on, @Jil, forget the condo, help the son out with a SFH!!! What ever happened to our fearless leader’s concept of paying forward??? Your son will gladly take care of you later (hopefully)…

SFH is loan, my son resisted loan. He wants to be free from loan ! This condo is full cash buy, no loan !!

He does like owning home, but not the big loan.

He is yet to understand the concept of leverage and its benefit.

Had he accepted my proposal for SFH, he would have got this home .

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Well, we all would like to be debt free too but come on!!!

I think you should stop holding your son’s hand and let him face the real world. He will learn his lesson and regret not taking out a loan for a SFH later.

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Do you get a ridiculously low price for 55+ condo? If the price is below replacement, it might be a good buy. If the discount is less than 10%, not worth it.

The Belmont house is a steal. How bad was the condition? It could be a good home for someone in our forum.

Got it. No doubt. I appreciate. I many times think about it.

The only concern is non-stop price growth of bay area, he may be out priced soon !

That is the price he has to pay for not getting into the market early. Maybe bay area RE will see a correction later, who knows. Kids these days need to have more forward thinking, be responsible for their own actions, and stop being crybabies about not being able to buy anything in the bay area later.

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Come on, @Jil, aren’t you going to “sell” one of your many properties to your son and just make him “pay” for it by paying off the mortgage? I know, I know, he ain’t gonna learn in the cruel, cold world but I mention this because this is what one of my friends did back in the day with his loving, and obviously quite giving mom. He turned out fine…

This is what he is expecting !

BIG NO.

When I retire, I will sell one property take capital gain and pay off all other mortgages so that I will be loan free. This is my plan, no change.

The gift for my son is limited to 14k/year (IRS limit) allowed for parents, so that he gets a condo well within his Limit.

Even if I buy condo with cash offer, it is only to get low price (or get rid of competition) and eventually he will have to get a mortgage well within his limit !

Any 55+ community is out of picture now. I learnt something new that I can tap when I retire !

Good for him! I totally approve of him wanting to live loan free. What cash amount can he do? I’m sure there are some small condos available in RWC. But I would be shocked if he could get away with living in a 55+ community. And if it were me, I’d feel horribly awkward about it.

used to be definitely yes. Recently, boomers retiring and deals not so great. Massive recent appreciation in Rossmoor (on a percent basis). Not good for rentals there.

I think it is great that you are helping him to get started. It’s not like you’re supporting a drug habit. You’re helping a (my guess) responsible kid get established in an extremely competitive area.

Isn’t that what family is for…helping each other? I intend to help my kids if I can. Someday the tables could turn and it maybe me that needs support so I will look out for them if they need a little help and I’m in the position to provide. Of course within reason. If they are taking advantage, that is different.

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True, that is the main reason dropped the option before even asking him. He needs to be in his own millennials group, not at 55+

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