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Can Be a Good Investment
If the Marina Management orginazation is a good one and the members take an active interest in keeping the marina properly maintained it is most likely a good investment. As waterfront prices continue to increase owning a share of waterfront doesn't freeze you out of ownership. On the other hand, a natural disaster could wipe the marina out so a condo owner would have a share of that too so the marina should be insured. We've found it's a really good hedge against rising moorage costs with rates about half that of the cheapest public marina. Our marina is over 100 slips but if one belonged to a really small one the individual work load might be too much. Condo ownership is definitely something to consider.
If the Marina Management orginazation is a good one and the members take an active interest in keeping the marina properly maintained it is most likely a good investment. As waterfront prices continue to increase owning a share of waterfront doesn't freeze you out of ownership. On the other hand, a natural disaster could wipe the marina out so a condo owner would have a share of that too so the marina should be insured. We've found it's a really good hedge against rising moorage costs with rates about half that of the cheapest public marina. Our marina is over 100 slips but if one belonged to a really small one the individual work load might be too much. Condo ownership is definitely something to consider.
I've owned a condo slip for 13 years
In general, I'm happy with our "dockominium". It's fine as a long term investment. Economic downturns can affect the selling price of the slips in the short term. We've had 50' slips sell for as little as $6,000 and as much as $40,000 only a few years apart. If you can afford the cash to buy it outright, rather than taking a mortgage on it, it sometimes makes more sense. You'd have to run the figures considering the opportunity cost of the money you spend in order to make a determination. Before buying, I'd take a good look at is the declaration (with all the rules and regulations) as well as how much of its operation is self run. We generally have work parties of owners who do 90% of the necessary maintenance work. Some condo slips have a management company taking care of everything with a figurehead board. The management company option costs a lot more money. Make sure the condo slip association has adequate reserve funds, otherwise special assessments will be levied for periodic major work. Once you own your slip, you always will have a specified place to dock your boat with more affordable prices than most marinas. The downside is that your drunken loudmouthed slip neighbor is in the same position. Okay, I exaggerated, but before buying, walk the dock and make it a point to meet the people in your vicinity on the docks. We have quiet areas on the docks and party hearty areas. It's more comfortable if your dock neighbors are like minded. Lastly, get individual unit owners' impressions of the condo board which runs the dockominium. We've been lucky in that we've always had common sense boards. Other associations haven't. For some reason, board membership can bring out the condo nazi in some people. Good luck. I haven't regretted my decision.
In general, I'm happy with our "dockominium". It's fine as a long term investment. Economic downturns can affect the selling price of the slips in the short term. We've had 50' slips sell for as little as $6,000 and as much as $40,000 only a few years apart. If you can afford the cash to buy it outright, rather than taking a mortgage on it, it sometimes makes more sense. You'd have to run the figures considering the opportunity cost of the money you spend in order to make a determination. Before buying, I'd take a good look at is the declaration (with all the rules and regulations) as well as how much of its operation is self run. We generally have work parties of owners who do 90% of the necessary maintenance work. Some condo slips have a management company taking care of everything with a figurehead board. The management company option costs a lot more money. Make sure the condo slip association has adequate reserve funds, otherwise special assessments will be levied for periodic major work. Once you own your slip, you always will have a specified place to dock your boat with more affordable prices than most marinas. The downside is that your drunken loudmouthed slip neighbor is in the same position. Okay, I exaggerated, but before buying, walk the dock and make it a point to meet the people in your vicinity on the docks. We have quiet areas on the docks and party hearty areas. It's more comfortable if your dock neighbors are like minded. Lastly, get individual unit owners' impressions of the condo board which runs the dockominium. We've been lucky in that we've always had common sense boards. Other associations haven't. For some reason, board membership can bring out the condo nazi in some people. Good luck. I haven't regretted my decision.
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