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Buying a Parking Spot with Condo a necessity?

Parking Spot

Would there be a difference in opportunity or value if the parking spot was assigned vs owned?

Owned is deeded to you where as the assigned is part of the common elements.
 
I'm still a bit on the fence with this one... I would think that for a larger unit, then it definitely makes sense to get a parking spot. But what about if the unit is just a 1BR, and quite small?

Eg. 600 sqft, 1 Bedroom condo x $450/sqft = $270,000

Parking spot = $30,000 (average of $20-$40K)

Total cost: = $300,000

I would think that the types of people that are looking for a small 1BR condo would be single, just starting out, first time buyers, etc. Perhaps their reasoning for living downtown is so that they do not have to drive to work. Wouldn't a price point of $270,000 appeal to much more of these types of buyers (as opposed to $300,000)?

And from the other point of view, wouldn't buyers that require a parking spot, and have over $300,000 to spend, be interested in larger units? (1+den, 2BR, etc.)?

Any thoughts?
 
I agree with most of the comments here, except I think the urgency to have one for resale value is overstated. When I bought, I looked mostly at resale units without parking spots, and the one I eventually chose was not on the market a long time.

I don't have a car, don't even find a need for one enough to consider Autoshare or Zipcar, and I am completely happy. Obviously, it would be easier to sell my condo if I did have a parking spot, but I'm not planning to go anywhere soon and not concerned about the day I do.

One thing to consider: the age of the building and the number of parking spots. In most new complexes, there are not enough parking spaces for everyone in the building, if everyone had a car. So when someone rents a spot (and assuming renting to outsiders is prohibited), I think it does get snapped up quickly. My parents' condo, on the other hand, was built in the 80s and has a ton of underground parking. I'll bet it's a lot harder for people there to rent them out.

PS: I have a 1BR unit.
 
well I just bought a unit downtown and decided to take the 30k and put that towards a larger unit. I don't drive, I don't plan on moving for a while so I guess it depends on your situation.

Could I have afforded both the larger unit and parking?? probably not, so it wasn't even a tough decision.
 
ten_eighteen said:
I'm still a bit on the fence with this one... I would think that for a larger unit, then it definitely makes sense to get a parking spot. But what about if the unit is just a 1BR, and quite small?

Eg. 600 sqft, 1 Bedroom condo x $450/sqft = $270,000

Parking spot = $30,000 (average of $20-$40K)

Total cost: = $300,000

I would think that the types of people that are looking for a small 1BR condo would be single, just starting out, first time buyers, etc. Perhaps their reasoning for living downtown is so that they do not have to drive to work. Wouldn't a price point of $270,000 appeal to much more of these types of buyers (as opposed to $300,000)?

And from the other point of view, wouldn't buyers that require a parking spot, and have over $300,000 to spend, be interested in larger units? (1+den, 2BR, etc.)?

Any thoughts?
Click to expand...

Due to lack of parking space, I doubt you could buy a parking space if you bought 1 bedroom. They mostly sell it to 2 bedroom or 1+1 units.
 
^ That depends on location and the individual building. "Ten eighteen" spoke as if he had a choice in the matter, that is, he could buy a spot if desired. Away from the downtown area or the Yonge corridor, most buildings have one parking space per unit, and a few of the more luxurious buildings have more.
 
Yeah, in pre-construction situations they do usually reserve the parking spots for larger units.

"Observer Walt" got what I meant though -- ie. let's say another owner in the condo was selling their parking spot, or perhaps the developer had extra spots and opened it up purchasing to owners of smaller units, so I was curious if it would be worth it to purchase it.

In one respect, when it comes to resale you could look at it as a good thing, since smaller units that come with parking would be rare. On the other hand, maybe it would actually just make the unit harder to sell since the selling price would right off the bat be marked up $30K more.
 
well...that could be semantics too. You could think of it as selling off the parking and saving 30K :)
 
Selling a second parking spot with condo or separately?

I want to sell my condo privately and am not sure if I should add the second parking as a perk and bring up the price or sell the second parking separately. Am I even able to sell the spot separately if all are under one title/deed? The condo is a 1 bedroom + den 700 square feet (Mississauga). The spots are rented out for $100-150, so it's a hot commodity. Thanks so much for any suggestions.
 
If the parking spot is not separately deeded, then I do not believe that you can sell it separately from the unit.

My uncle was in a somewhat similar situation where he bought a townhouse in a relatively new complex that he thought came with one parking spot, but when he was perusing the deed after he bought it he noticed that it was supposed to come with two spots. He looked into it, and the guy that he bought the place from had purported to "sell" one of the spots to another resident in the building a couple of years previously. My uncle basically just went to that resident, told him that his "purchase" of the spot wasn't legal, and that he should stop parking in the spot. No idea what happened between the resident and the guy that he "bought" the spot from, but my uncle ended up with an extra free parking spot.

That being said, you should probably consult a lawyer if you're thinking of trying to sell the spot separately.
 
Parking spaces are becoming more and more of a rarity in new downtown condos.
For most, I don't think it is necessary especially if it's near a streetcar/subway or car share location.

For larger units and/or higher end units, I think there will be a higher demand for parking spaces.
Developers that charge more than $40,000 for parking will have a hard time selling them.

I would definitely purchase a storage locker. Not everyone has or needs a car, but everyone will have stuff to store (especially with units becoming smaller and smaller). Storage lockers are being rented for $100/month or more where I am living, which are approaching parking space rental prices.
I would even consider purchasing 2 storage lockers, which is a better investment than a parking space.
 
Parking in the Mississauga region should be around $10000-$15000. It is hard to say what to do, but the second parking spot might not add as much value because the demand might not be there. At the same time not many one bedroom plus dens have a second parking spot so it could add value. Also was the second parking spot bought after you bought the place or was this purchase done all at once?
 
Just thought this was a relevant article in the Star today that could be a corollary to this thread.

COST OF GRIDLOCK: Is that condo parking spot becoming an albatross?

While I can't say these sentiments are universal just yet, I know many are definitely feeling that a car is no longer a necessity in the downtown area, given the rising cost of insurance, fuel and parking, not to mention the cost of the vehicle, the parking spot, maintenance & repairs, etc.

I still believe we're some years away from seeing parking spots as a detriment to a condo unit's value but it's certainly some food for thought in the distant future. I know of many downtowners who, while they don't use their car very often, still prefer to have a spot and a vehicle for the times when they do use it.
 
A parking space can cost more than the car itself!

And when you consider that many buyers of new pre-construction condominiums in Toronto aren’t even afforded the opportunity to purchase a parking space unless they buy a 2-bedroom unit and/or meet a price threshold, then parking spaces become even more valuable, as they are even more scarce.

At a time when our Toronto City Council is mired in endless debate over public transit, it seems that the cost of owning and maintaining a car in this city is skyrocketing.
 
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