Nevada has been hit very hard by the housing bust, and several houses have gone into foreclosure. What happens with foreclosures is that they often are in disarray and need several repairs to make the house livable again, but people in Nevada also can make the choice to purchase condominiums. This option has several advantages for those who consider it.
When people purchase condominiums, they will, most likely, obtain a mortgage for the purpose. In the very beginning, most of the monthly payments are going toward interest, and this is beneficial to the condo owner because the interest paid on mortgages is tax-deductible. Those who are paying property taxes on their condominium properties also have tax advantages because this amount of money is completely tax-deductible.
Homeownership also signals stability to others. For example, when people are purchasing insurance, the insurance companies' representatives will ask whether the applicants are renters or owners. Owners receive lower premiums because their purchase of a condo generally means that they are stable in their lives and their jobs and plan to remain in one place for several years. Stability means that people are less of a risk for insurance companies and lower risks mean lower premiums.
Ownership of a condo also means that people have an appreciating asset. In the recent past, housing prices have fallen, but the housing prices are expected to start rising again in the near future. As this occurs, people are acquiring equity in their homes. If these condo owners obtain a mortgage for a shorter term, a 15-year mortgage rather than a 30-year mortgage, they will see their equity rise at a faster rate as they pay more toward the principle every month.
People in Nevada have the choice of luxury condos in high-rise buildings or smaller condos in a family-friendly residential area. In this state, those who like city life and a vibrant nightlife may choose to purchase their condos in Las Vegas. The state of Nevada also has several opportunities for those who like a quieter lifestyle in cities such as Henderson. A large part of the state is desert, and the state of Nevada has taken full advantage of this fact by creating beautiful areas to build the state's condos that have views of the desert.
Nevada has an abundance of foreclosures, but these may not be the best choice for everyone who is looking for a home in the state. Condos offer the tax advantages that obtaining a mortgage gives to condo owners, and they keep people away from foreclosure property that may not be worth the trouble.