
A test-drive arrangement can be worked out in several ways. Commonly, a resident will choose to rent an apartment in a hybrid rental-condominium, later deciding on whether or not to buy. Residents can also choose to rent from an individual condo owner and eventually buy that specific condo or another apartment in the same building. Although residents do not get to deduct the cost of rental from the eventual cost of the apartment, many are still choosing to take the chance of getting to live in a condo before committing to it.
The system is not a perfect deal for all parties. If a resident chooses to not buy after a test-run, the building’s reputation can be negatively affected. In addition, maintenance and tax issues can arise when a renter leaves the test-run unit, which can be an unpredictable consequence as a whole. Regardless, many potential buyers across Manhattan have found many benefits from testing the waters at more affordable rates. Overall, the extra costs afford residents a heightened sense of security and well-being in the knowledge that a purchase will ultimately be well-justified.
Get your social on