Phoenix real estate prices have increased at such a high rate over the last two years that many potential first time buyers have come to the conclusion that they simply can't afford to buy. Fortunately, there's an affordable solution to the dilemma that benefits two very interested parties - first time homebuyers and their former landlords.

Many apartment owners are opting to convert their apartment building into condominiums throughout Phoenix. Renters are given an option of purchasing their apartment, or new buyers can purchase any of the apartment units. Of course, the apartment owner realizes a great profit for their property, but it's also great news for the renter that chooses to purchase.

These renters are able to purchase a comfortable condo at a substantially lower price than most homes. Plus, they may be able to get into the condo with very little down payment, and their new home payment may be the same or only slightly higher than their original rent price.

But the best reason for renters to purchase when offered a condo is the incredibly equity they'll accumulate with ownership. As home prices increase throughout Phoenix, condo owners benefit from the increased prices. Even if the condo isn't the home the owner wants to stay in, they can leverage the equity they gain into another new home at a future date. Some new buyers are finding that between the time they began purchasing their condo and the actual closing date on the loan, their condo may have appreciated $50,000 or more.

Phoenix is one of the strongest condominium markets in the United States. There are a variety of prospective owners that are searching for affordable housing solutions: immigrants, retirees, and young buyers.

There is not one single type of buyer or even type of condo conversion. There are simple, starter condos and luxury condos. Most of these complexes feature a variety of community services, such as shared swimming pools, community centers and golf courses. The condos are great options for buyers that plan to occupy the units, as well as investors that are looking for easy to maintain property.

Rising home prices don't have to be a stopping point for new homebuyers. There are some great opportunities being available to renters every day throughout Phoenix. So, if you are a first time homebuyer, or looking to down size to a lifestyle friendly environment, a condo conversion may be a great opportunity to build some quick equity.