Condo conversion

The land utilization for commercial purpose was highest in the recent past but with the increase in demand for land and the increasing price of single-family homes the commercial building are being replaced with residential buildings. The changing face of middle class family and the amount of money flowing into the real estate market has been the reason behind the extensive condo development.

The median price of the condos depends on its location. Many people are turning towards the cities from the suburbs and instead of investing in a single apartment they buy two condos one for living purpose and another for renting out which indirectly increases their income. Condos became popular only after 1961 housing act, which enabled federal housing administration to insure mortgages on the units.

Compared to other residential property, the condos were worst affected by speculation during the economic recession. Over building and rapid conversion, which was, more than the demand led to fall in the condo price by 50% in the early 1980’s and it took ten years to reach its peak again.