I Keep Hearing Condos Aren't Good Investments Because You Don't Own the Land. Is That Actually True?

I Keep Hearing Condos Aren't Good Investments Because You Don't Own the Land. Is That Actually True?

Adrian Volenik

Mon, August 17, 2026 at 6:46 PM GMT+3 5 min read

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People shopping for their first property hear plenty of opinions about condos. One of the most common is that they're poor investments because owners don't own the land beneath the building.

With home prices still high, that advice can make buyers wonder if a condo is worth it or if they should just save for a detached house instead.

That question came up on Reddit, where many homeowners weighed in with their own experiences. Some had earned substantial profits when they sold their condos. Others said the biggest factor was never the land at all. They pointed instead to location, the health of the homeowners association and whether the property matched the buyer's lifestyle.

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A Good Condo Can Still Build Wealth

Several people explained that condo owners usually own a share of the land through the condominium association, even if they don't own an individual lot. That means rising land values can still benefit condo owners.

Many also shared their own experiences.

"I bought my condo for $175K and sold for $280K within 3 years," one person shared. "It depends on location and also really depends on the HOA."

Another said they bought a condo for $110,000 in 2018 and were selling it now for $195,000. Someone else reported buying a unit for $210,000 in 2017 before selling it for $330,000 in 2023. Several people who owned homes in cities such as Chicago, San Diego and Austin, Texas, also said their condos appreciated substantially over time.

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The popular expression "location, location, location" likewise came up throughout the discussion, with some saying that a condo in a busy urban neighborhood can outperform a detached home in a less desirable area because demand stays strong where people want to live.

The HOA also received plenty of attention, as buyers were urged to read financial statements, reserve studies and meeting minutes before making an offer to avoid costly surprises later. A poorly managed association can result in steep special assessments or rising monthly dues that make a property less attractive to future buyers.

Buying a Property Isn't the Only Way to Invest in Real Estate

Many commenters agreed that single-family homes often appreciate faster over long periods because they appeal to more buyers. Even so, plenty of people viewed condos as a smart first step into homeownership, especially in cities where detached homes remain out of reach.

Then there were people who liked the condo lifestyle. They appreciated having someone else handle landscaping, snow removal and exterior maintenance while they focused on work or family.

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"Condos make sense at least two times in your life," one person said. "First, when you're younger and don't want yardwork and just entering the market. The second time would be later in life to downsize."

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Building Wealth Across More Than Just the Market

Building a resilient portfolio means thinking beyond a single asset or market trend. Economic cycles shift, sectors rise and fall, and no one investment performs well in every environment. That's why many investors look to diversify with platforms that provide access to real estate, fixed-income opportunities, precious metals, and even self-directed retirement accounts. By spreading exposure across multiple asset classes, it becomes easier to manage risk, capture steady returns, and create long-term wealth that isn't tied to the fortunes of just one company or industry.

Arrived

Backed by Jeff Bezos, Arrived Homes makes real estate investing accessible with a low barrier to entry. Investors canbuy fractional shares of single-family rentals and vacation homes starting with as little as $100. This allows everyday investors to diversify into real estate, collect rental income, and build long-term wealth without needing to manage properties directly.

Realberry

Institutional-quality real estate has traditionally been difficult for individual investors to access.Realberry gives accredited investors direct access to private real estate opportunities backed by a team with 35 years of experience, $3.4 billion in assets under management, and $481 million in cumulative distributions paid to investors as of Q4 2025, according to the company. With a portfolio spanning 13 million square feet across seven U.S. states, Realberry focuses on acquiring, developing, and managing real estate with an emphasis on long-term value creation while its principals often invest alongside clients to help align interests.

FarmTogether

Farmland has historically held its value through market volatility and delivered returns uncorrelated to stocks and bonds. For accredited investors,FarmTogether offers direct access to high-quality U.S. farmland starting at $15,000 — fully managed, with no landlord headaches.

Fundrise

Private real estate and private credit can add income and stability to a stock-heavy portfolio.Fundrise offers access to diversified private real estate and credit strategies through an easy-to-use platform, with professionally managed portfolios designed to generate passive income and long-term growth.

Mode Mobile

Mode Mobile is changing the way people interact with their phones by letting users earn money from the same apps and activities they already use every day. Instead of platforms keeping all the advertising revenue, Mode Mobile shares a portion back with users who engage with content, play games, and scroll on their devices. Named one of Deloitte's fastest-growing software companies in North America, the company has built a large beta user base and is scaling a model that turns everyday smartphone usage into a potential income stream.

EquityMultiple

For accredited investors looking beyond stocks and bonds, EquityMultiple provides access to vetted commercial real estate deals starting at $5,000, with only ~5% of opportunities passing their due diligence process.

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