Existing home sales in the United States recently experienced a roughly 7% spike. These include options like single-family, townhouse, and condominium structures.
Many homebuyers opt to buy condos and townhouses because of their affordability and many included features. Condos and townhomes are similar but also come with a few key differences you should observe.
You’ll learn how to decide between townhome vs condo when you apply the tips below.
You’ll Generally Less Buying a Condo
People generally buy condominiums so that they can own property while saving money. Condo prices only rose by about 6% recently, compared to more than 12% for single-family homes.
Condos are also less expensive than townhomes since you’re only purchasing the interior unit in most cases. There’s also less upkeep involved with condos, which lowers the cost of ownership.
If price is a deciding factor for you when buying a home, condominiums get the edge in that category.
Townhomes Have More Privacy and Fixtures
The biggest plus in the favor of townhomes is that they often come with strips of land in the form of a backyard or patio. This allows for more privacy, autonomy, and options.
Condos generally don’t come with a yard, so if you have dogs or kids, townhouses may be your best bet. Having this added bit of space is helpful if you’d like to install a basketball hoop, swing set, hot tub, barbecue grill, or any other outdoor fixtures.
Both Have HOA Participation and Common Space
So what about the similarities? The main similarity is that you’re buying into a homeowner’s association (HOA) whenever you purchase a condo or townhome.
Your HOA takes care of matters like property improvement, maintenance calls, and appliance upgrades. Both properties generally have common areas that are also maintained by the HOA.
Participating in an HOA means that you have a monthly or annual fee tacked onto your mortgage. You also have a membership to the HOA, which means you can vote and participate in decisions.
Take Tours and Explore Properties
When exploring condo vs townhouse comparisons, you need to start getting some reference points. This only happens when you tour properties for yourself.
Schedule meetings with property managers or real estate pros. Visit the property and pay attention both to the living space of the unit and the environment of the entire community.
Take notes and figure out which living experience makes the most sense for your needs and lifestyle.
Townhome vs Condo: A Better Understanding
When deciding between a townhome vs condo purchase, the points above will help you get started. These are great entry-level homes for new property owners.
What’s more, they’re excellent investment opportunities. Many people use condos and townhomes as a starter home, which they sell for profit or rent out once they’ve found their dream home.
Considering the points above will help make the decision process a lot easier for you when you’re deciding between the two. Check out our other tips when you’d like to learn more about the real estate business and how to buy a home.