CONDOTEL – SHOULD BUY OR NOT?

Condotel is an acronym for Condo & Hotel. Means Apartment Hotel or Apartment Hotel.

The concept is very popular in the world market but still quite new in Vietnam. Condotel brings "dual" values ​​to customers, it gradually becomes a new investment trend.

HOW IT WORKS

Condotel is a combination of two types of real estate. Therefore, it has both the activities of a hotel and the function of an apartment complex. Specifically:

Functions of a hotel:

• Condotel has a reservation system
• Other hotel services such as swimming pool, health club, nightclub, restaurant
• Shops, mail service and 24-hour room service.

Apartment function:

• The apartment hotel is designed with full kitchen facilities, living room, bedroom
• Condotel is different from ordinary apartments in that it needs to have a unit to manage and operate

FINANCIAL BENEFITS

There are 4 main factors when it comes to financial benefits

• Profit from rental
• Cash flow
• Price increasing
• Financial maths

SHOULD BUY CONDOTEL APARTMENT OR NOT?

- Due to the above risks, when investing in a condotel project, it is necessary to carefully consider the legal nature of the project to assess how your ownership interests are.

- When signing a contract to assign the investor to manage their real estate, it is also necessary to carefully study the terms, conditions as well as their rights in it.

- It is necessary to evaluate the market in terms of the project construction area as well as the profitability of the project. There are also worst-case scenarios, if the investor or management unit is no longer involved in project management, how will the condotel buyer handle the large amount of investment spent.