Keith brings up a valid point. If the units are not individually metered that would have to be addressed. There would also need to be an additional meter for the common areas which would be paid by the HOA from the monthly dues.

Nikki
There is some very good analysis here. The only point that I would add is that due to the dates of construction most OYO also may not have separate utility metering, so it is common to have the utilities. With the increasing utility costs, this would be another concern when comparing options.

If one unit likes it cool, and runs their AC a lot, you'd end up paying a share, same with long, hot showers...

Long Beach Own Your Own OYO owners are organizing for condo conversion. See article for details.

I have sold many OYO over the past 28 years. There used to be quite a lot of financing choices, now there is but one that I know of. They used to be a great investment because they were so close to the beach, and were about 50% less than condos in the past. Now most of the OYOs have converted to condos which is much easier to purchase and there are only a few OYO left. They are still less expensive due to the lack of financing and you typically need 10% down. With all the condos on the market they are not the best choice any more. Besides Long Beach, you might be interested to know that there are OYO in Glendale too. If I can answer any other questions about OYOs feel free to contact me at 714-296-7270 or bstrealtor@aol.com.

OYO's are similar in ownership to condos in that they are both fee simple ownership with individual tax bills and deeds. OYO's are a pre-condominium form of ownership, mostly built in the 50's. They generally sell for less than condos and are occasionally candidates for condo conversion, if they qualify, at which time they increase in value dramatically. Often OYO's will not have sufficient parking to qualify for condo conversion.

At this time there is no financing available for the purchase of OYO's. Few are being sold, those that do sell are all cash purchases, or seller financing. Traditionally FNMA and FHA have not supported loans on OYO's OYO's are difficult to sell which is a major drawback to purchase.

So, the answer to your question is that they are very similar forms of ownership.