I'm am interested in purchasing a Condo/Townhome in the Eagan/Burnsville market area.

Asked by Shane, Eagan, MN Sun Jan 27, 2008

I would like something that is in need of some minor TLC. What is the general process for renovating a condo/townhome? For example, if I were to replace the carpet with hardwood, would I have to contact the downstairs neighbors, approval from the homeowner's association. I realize every property varies, I'm looking for the general process. I'm more concerned if it would be a great hassle to renovate, or if I could pretty much come in and fix the place up and sell or rent it out. Thanks for your help!

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Todd Norsted’s answer
Todd Norsted, Agent, Maple Grove, MN
Wed Feb 13, 2008
Hi Shane.....

All condo/townhome associations vary slightly, but typically, interior repairs, updating, etc. do not require that the association be involved. Check the association docs for the exact information on what's required.

As far as fixing up and selling, great idea! If you plan to rent it out though, do the same, check association documents for any regulations on rentals.

Thanks, Todd Norsted
Web Reference:  http://www.toddnorsted.com
1 vote
Derrick Stra…, Agent, Eagan, MN
Fri Jan 24, 2014
Interior work should be fine. definitely check out to see if the association allows rentals or if you must be a owner/resident or close family member. I live in Burnsville and office in Eagan. Let me know price range and wants and I can help.

0 votes
Constance Ko…, Agent, Burnsville, MN
Mon Feb 11, 2008
Hello Shane,

I am new to the site so I am sorry you have not received more responses. If you are still looking for a townhouse, I hope this feedback helps. Depending on the extent of the interior repairs you may have to obtain approval from the association. When you are out viewing townhouses with your Realtor and you stumble upon a property you are interested in have your Realtor contact the association management company with your questions. That is unless you want to wait until you submit an offer and have time to review the documents. However, I would save the time and ask right away. Also your Realtor will provide you a CMA of the townhouse community to see what kind of upgrades others have done so you do not price yourself out of the market. I would also look at buying the property for a long-term investment and resale value as well as the affordability of the monthly association fee (the upgrades to the exterior of the building including decks, landscaping, windows etc. are all important factors to look at as well). If you are looking to rent out the property the association will generally have a cap on the percentage of rentals they permit within the community-as well as a minimum lease term of 6-12 months.

Also do some research on the rental rates of a condo vs a townhouse to determine which property will provide you with the best investment.

Now is the time to Buy. Both the Eagan and Burnsville markets have a lot of great properties from which to choose.

I hope this information helps.

Constance Koopman
0 votes
Aaron Dickin…, Agent, Champlin, MN
Mon Jan 28, 2008

Sorry you haven't received other opinions on this... normally there's at leat 1/2 dozen local agents that lurk around here... if you need more info feel free to post a followup question and I promise I'll answer it.
0 votes
Aaron Dickin…, Agent, Champlin, MN
Sun Jan 27, 2008
Townhomes and condos are often different, and each association has different rules as well. I've seen a couple condos that do not permit hardwood/pergo floors other than in kitchens because of the noise.

Generally you can replace anything cosmetic inside the home without permission/authorization from the association or neighbors so things like flooring, paint, lighting, appliances, cabinets, plumbing fixtures, etc.

In this market the house has to be an absolute deal to "flip" it by fixing it up and reselling it quickly... the average market time makes your carrying costs heavy. Rentals are not always permitted in developments and if they are, there may be a limit imposed, which often has already been reached.

So in summary, most condos and townhomes would have minimal obstacles for renovation/investment, but there's a lot of things that can come into play that vary greatly by development. Talk with some real estate agents and pick one that you feel comfortable with to help you in your efforts.
Web Reference:  http://www.aaronsold.com
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