Typically condos are made to be fairly luxurious accommodations. As well as trendy features like granite counters and spa washrooms, they’ll sometimes have concierges and martini bars. Each of these features has a cost, which gets passed along to the condo owners, typically as a high monthly condo fee. As an alternative, this idea is to build ultra-economy condos in a convenient location of a large city, and offer them to people who want to own property at a rock-bottom price.
In terms of ultra-economy, I’m talking very utilitarian, uncool places to live. Many of the internal units might not have windows, perhaps the size would be in the 300-400 foot range, no balconies, no in-unit laundry machines, etc. Each would include a washroom, small kitchen area and a place to live and sleep.
I’m not claiming this should be where everyone live. It might be a Pied-à-terre for people who work in the city (but own property elsewhere) or housing for a student or young professional. It could be corporate housing for a law firm to offer to young associates when they first move to the city (or for them to use to sleep at if they’re working 18 hour days). If someone is firmly of the mindset that they want to own property and not “throw away rent money“, this might appeal to them. The vast majority of people WOULDN’T find this appealing, but for a whole city, you should be able to find a building full of people who would.
The location in town should be somewhere fairly accessible to public transit (since the people who would want to live here would also be the type of people don’t want to own a car. It definitely doesn’t need to be (and shouldn’t be) a trendy area.
The marketing would focus purely on the financial element of the building instead of trying to sell it as a lifestyle.
For this post, or any other of the wacky business ideas I post, obviously I’m releasing any ownership claims I may have over these ideas. If you like something I post and feel like you can make money from it, please feel free to do so! Let me know when you’re opening and we’ll do a post on it to give you some free advertising.
Want to learn more about RESPs? Buy The Book:
The RESP Book: The Simple Guide to Registered Education Savings Plans
Everything you need to know about RESPs.