Q: What are lockout units? I hear that many condo hotels offer them, but I don't understand what they are or why they're so popular.
Lockout units are two individual units located next to each other and separated by a door. Each of the two units contains its own bathroom and kitchen area. The units can be rented together or separately. Each unit comes with its own deed. The primary benefit of lockout units is that they offer the maximum flexibility in use. They can be used as two one-bedroom units or one two-bedroom unit. Rent one unit out while occupying the other yourself. Rent out both to one party, or rent them individually to two separate parties. As you can see, they maximize your rent revenue potential. Finally, when you're ready to sell your condo hotel lockout, you can choose to sell one unit and keep the other or sell both together. Again, lockouts are highly desirable because of the flexibility they offer.
* The above question was submitted via e-mail by a visitor to www.CondoHotelCenter.com. The answer was prepared by Joel Greene, a licensed real estate broker with Condo Hotel Center which specializes in the sale of condo hotel units and fractional ownerships in private residence clubs.