Imagine yourself hunting at home. Enter a refined downtown condo with floor-to-ceiling windows and a rooftop pool. The next day you tour the rows of townhouses where the kids ride their bikes along the sidewalk and have small garden patches in each house. Both are attractive, but which one really suits your life? Whether you’re looking for a condo in Houston, Texas or a townhouse in Quincy, Massachusetts, this is where your townhouse vs condo decision begins.
What do you live in a condo?
Think of a condo as an apartment-style living you own instead of rent. It controls the space inside the walls, but the corridors, lobbies, gyms and courtyards belong to everyone in the community. Condos are often found in dense urban or resort-style complexes. This requires amenities at the entrance and reduces daily maintenance.
Key points about condos:
Owners pay a monthly fee covering external maintenance and shared space. You may find extras in the pool, gym, lounge, etc. You share your walls, floors, or ceilings with your neighbors, so your privacy is low.
Read >>What is a condo?
What is a townhouse like?
The townhouse feels like a detached house, but the prices are low. Usually there are multiple stories, your own entrance, and often a small garden or patio. You can share one or two walls, but you own the structure and frequently own the land beneath it, which gives you more independence compared to a condominium.
Important points about townhouses:
The owner is responsible for most maintenance costs, including roofs and siding. Monthly homeowner fees may be small or nonexistent depending on your community. Yards and garages are common and offer more space and privacy.
Read >>Is Townhouse suitable for you?
What cost does it cost?
At first glance, condos often find purchase prices lower. However, monthly association fees may be added immediately for an average national HOA fee of $243 per month. Townhouses usually cost more in advance, but the ongoing fees are smaller as they take on more maintenance on their own. Over time, financial trade-offs depend on lower maintenance and increased monthly membership fees, or prefer more independence and responsibility.
Who handles the maintenance?
Condominiums: The association typically manages exterior, landscaping, and common areas. The owner only handles the interior. Townhouse: Owners need to budget to maintain their property both inside and outside, but some communities offer limited services, such as snow removal and lawn care.
It suits your lifestyle
Ask yourself how you want to live. Want to travel with locking the door without worrying about maintaining it? Condos make it easier. Do you like BBQ ideas on your own private patio or plant a garden in your backyard? Townhouses can offer that freedom.
Resale and investment possibilities
Condos and townhouses can both build fairness, but buyers often see townhouses assess them faster as land ownership retains value. Condos can still be attractive investments, especially in high demand areas where convenience and amenities are prioritized by buyers.
Investment and considerations rent
For investors, both real estate types can generate rental income, but there are important differences.
Townhouses often appeal to long-term tenants who need more space, parking or gardens. This means lower turnover and a more stable rental stream. Owners may have control over the land, which may also provide greater flexibility to renew or improve rental value. Condos tend to attract short-term tenants who prioritize amenities and locations. Rental demand is growing at urban cores, but condo associations may impose strict rental rules. Some communities limit the number of units that require lease or board approval, which can limit investor flexibility. HOA rules and fees have a direct impact on profitability. High association fees will be reduced to rental margins, but the restrictive rental policy will make the units less attractive to investors. Always check the bylaws before purchasing to see if short-term rentals are permitted and how many units in your community.
Which one would you choose?
Choosing between a townhouse or a condo is less about which is better or what matches your lifestyle. Condos shine for those who want community amenities and minimal maintenance. Townhouses are more suitable for those who want extra space, privacy and more control over their property.
FAQ: Choosing Townhouses and Condos
Are townhouses cheaper than condominiums?
Condos often cost less to purchase, but monthly association fees can be higher. Townhouses may be more positively costly, but may have less continuing costs as the owner handles its own maintenance.
Which of the following is lower maintenance costs?
Condos are usually less maintenance as the association manages external repairs, landscaping, and common areas. Townhouse owners are responsible for their property both inside and outside.
Are townhouses more than condominiums?
Townhouses often see a stronger appreciation, as the owners also hold the land. Condos can still be a good investment, especially in areas where low maintenance lives are high.
Is the condo fee worth it?
Condo prices can be a sudden feeling, but they usually cover valuable amenities such as the gym, pool, security, and exterior maintenance costs. The value will vary depending on the amount you use the service.
Can I rent a townhouse or a condominium?
Both can be rented, but it depends on the rules of the homeowner or condo association. If you plan to rent a property, always check the community bylaws before purchasing.
