Difference between a condo and townhouse?

This article will go over what is the difference between a townhome and condo. The difference between these types of living arrangements cannot be overstated. One is not necessarily better than the other, but they do have different pros and cons that should be considered when deciding which type of residence you prefer. All the positives and negatives below might not actually be, and might not even apply to your citation when deciding between a condo and townhouse. Learn below so you can buy your home.

What is a Townhome?

What is the difference between a condo and townhouse? So what is a townhome? A townhome is a residential unit usually found in a community, which is much more common than most think. Townhomes are very common in the United States, they may also be known as PUD’s or planned unit developments. A townhome has bedrooms (usually two or more) on each floor and an open layout with an airy feel. Townhomes are typically three stories with basement levels (basement level can be called bottom level). It has a single stairwell, with about half used for storage and the other half used for living space.

Pros of a Townhome

1 Land: Townhomes might have different land rights than single-family detached homes. In a townhome, you might pay maintenance to a homeowners association to mow the lawn while a SFR might not be an option. It really depends on the situation as the opposite might be what you find as well. A condo generally has a 0-lot-line and doesn’t own the land, as they own a piece of the property.

2 Privacy: Due to their size and configuration, generally townhouses have some level of privacy with fences, walls, and hedges between them and neighboring properties. You might find a bit more privacy in a townhome than a condo, but it really depends on the complex.

3 Convenience: Townhouses might be located near commercial areas, transportation hubs, schools, churches, recreation centers, and other public areas. This is generally typical with condos as well depending on the city.

Cons of a Townhome

1 Association fees: Townhouses may or may not have monthly association fees depending on the luxury of the unit.

2 Maintenance and repair: Repairs and maintenance are for the most part typical on a regular basis for townhomes, especially if the unit is located in an older neighborhood.

3 Parking: Costs associated with parking can also be frustrating if you do not have an assigned parking space such as typical condos. While a single family home might have a private driveway.

What is a Condo?

What is the difference between a condo and townhouse? A condominium is usually in a multi-unit apartment building, they tend to be multiple floors and can be many stories tall. A condo association is usually managing it vs a homeowners association that is typical with townhomes or even single family homes. It is generally owned by residents and managed by a management company. The property generally consists of one or more residential buildings, each with its own roof, walls, and parking area. There could be an elevator or stairs leading to the inside of the buildings. They are generally managed by an organization or a third party, such as a condo association. The owner and members of the association may live in the units or rent it to others.

Pros of a Condo

1 Affordability: Condos could be a good entry level option as compared to a single-family home or townhomes, even though there are plenty of multimillion dollar condos.

2 Security: Lots of condo buildings have gates or entryways with security systems built in for safety.

3 Location: Lots of condominiums are located in the downtown area of a city, which might be near other ideal hot spots to visit.

Cons of a Condo

1 Subdivision regulations: Condos are often regulated more strictly than single family homes and townhomes due to association bylaws. This can be a pro or a con, depending on how you view them.

2 Maintenance and repair: Condos are subject to regular upkeep and repair like many houses, if for some reason a large improvement needs to happen then there could be a possibility for an assessment. An assessment means that you could get billed for owning a unit in the complex, this assessment is needed to pay for a common association bill typically.

3 Risks: Because of a condo's large size, the association should take out 10% and hold them for reserves, this would be considered warrantable, while condos that withhold less are generally seen as unwarrantable.

What is an Apartment?

An apartment is a self-contained housing unit (e.g., a duplex, triplex, quadplex, or a building consisting of more than one housing unit). It is designed for occupation by one family or a single person per unit. An apartment generally has its own entrance, bathroom, and kitchen facilities (or kitchenette in some cases). Apartments are built with multiple units typically; only the residents of the particular unit usually occupy it. They are usually located in city centers, as opposed to condominiums which are usually located in suburban areas near commercial and government offices.

Pros of an Apartment

1 Affordability: Renting an apartment could be less expensive than buying and owning one, but it could also cost you since you do not generally build equity in the parcel. Sometimes the cost of renting can actually be more expensive than it is to own, depending on the current environment.

2 Security: The facility manager often takes care of security for common areas and individual units within inspections.

3 Location: Since apartments are located in city centers, they tend to be incredibly close to all major forms of transportation and social amenities.

Cons of an Apartment

1 Risks: There are cons of renting. Renting an apartment means that your rent is never protected from increases.The landlord has the ability generally to raise rents.

2 Parking: Parking in a complex that has plenty of spaces can be difficult to find, you may just find yourself parking and then walking for a few minutes to your unit.

3 Privacy: When you live where neighbors are generally on all sides of your unit, it could prove to be difficult to have some peace and privacy. You just never know who will have that 3am party during a workday.

In conclusion, choosing a townhome vs condo depends on various factors. Each individual must evaluate their situation and decide which option will provide them or with their needs.