Condo vs Townhouse: Key Differences, Pros & Cons Explained

Purchasing a dream home is a common aspiration for many. Looking at the market options makes it overwhelming for first-time home buyers. To bring to your knowledge, townhouses or condos are known as one of the popular and credible options for buying. Standing as the affordable varieties, these house variants won’t let you spend a fortune to own a dream living space.

For a better vision, in this article, we have elaborated on the comparison of condo vs townhouses, breaking down the factors, long-term financial goals, and living requirements that can affect the living style and buying decisions.  

Key Takeaways 

• Cost—A condo is more affordable than a townhouse due to size and shared surroundings. 
• Insurance—A townhouse insurance policy is more comprehensive than a condo policy. 
• Ownership—In a condominium, a person only owns their unit in the high-rise. In contrast, the owner of the townhouse is entitled to the entire structure, including the land and external attachments.   
• Amenities—A condo offers shared common facilities while a townhouse provides small, but separate, outdoor living spaces. 
• Maintenance—A condo relies entirely on the homeowners’ association (HOA) for the maintenance of external attachments, while a townhouse requires the owner to take full responsibility for the interior and exterior. 
• Resale value—Selling a condo might be harder than that of a townhouse, due to the fact that the former depends a lot on the HOA’s quality maintenance for curb appeal.

Condo Vs Townhouse: Definitions 

Before we talk about condo vs townhouse, it is crucial to first discuss definitions. Thus, let’s see what each structure means in actuality. 

Condos, or condominiums, are individual residential units in a large multi-story high-rise building. Everyone lives in the same building in their individual flats. There are common spaces outside, such as units and complexes, for shared and communal use. However, the availability of such amenities depends on the luxury status of the project, and thus, it also affects the cost of each unit in the structure.

Moving on to the townhouse definition, it is a different structure compared to a condo. First of all, a townhouse is a dwelling that is originally meant for single-family use, even though there can be more than one floor. Such dwellings are often developed by contractors side by side so that there is a line of townhouses one after another. There are no lifts but stairs for floor-to-floor movements. 

If comparing prices, a condo is more affordable than a townhouse. For instance, the approximate cost of a condo and townhouse is $235K and ~$365K, respectively, in Columbus, US. However, this is a rough estimation, as the prices of residential properties vary from location to location and person to person. 

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Difference Between Condo And Townhouse! 

There are several major condominium townhouse differences to consider, as mentioned below. All the points will help you analyze which residential unit is the best option! Major areas of difference lie in cost, insurance, ownership, layout, shared amenities, maintenance, and resale value.  

Attributes	Condo	Townhouse
Cost	Being small, condos are affordable and often the first choice for many when considering the purchase of a residential property.	Townhouses are large residential structures due to being a single multi-floor unit, thus costing more than a condo.
Insurance	The condo insurance only covers claims against damages concerning the interior of the property, not external spaces.	The insurance claim related to a townhouse covers all external and internal aspects of the residential property.
Ownership	In the case of a condo, ownership is limited to the interior of the unit or internal space, including walls, floors, and ceilings.	However, when considering a townhouse, the owner is authorized to claim and use all internal and external components of the property.
Layout	A condo, also known as a condominium, is an individual unit within a large, multi-storey building.	But, when it comes to owning a townhouse, it comprises a multi-story single unit sitting on a piece of land. Additionally, townhouses are often constructed attached on either side, forming a line of residential structures.
Common Areas	Condos contain common areas that are to be used by everyone who lives in the same building.	Whereas there are no such parts in townhouses as shared facilities, or very few, if any.
Maintenance	Maintaining a small and individual unit like a condo is far more economical than the periodic upkeep of a townhouse property.	A townhouse requires a higher level of maintenance, increasing the cost due to its size and single owner.
Resale Value	Selling out a condo can pose challenges, as its appeal mainly depends on the external appearance of the building. So, the condo owner will have to suffer the consequences of poor external maintenance by the homeowners’ association (HOA).	In a townhouse, the owner has full control over maintaining the internal and external parts of the residence.

The location, where either residential unit is situated, also creates a point of difference. Condos are mainly constructed where the land is enough to accommodate an exceedingly high number of people.   

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Condo Advantages & Disadvantages 

Major points of difference when comparing a townhouse vs condo have been succinctly discussed above. Now, let’s understand what the major pros and cons associated with a condo are. It will help gauge the value of living in a condo comprehensively, so that you can make a better decision.

Have a look at the following plus points and negatives of owning and living in a condo. 

PROS	CONS
Cheaper due to being a smaller living space.	Periodic maintenance fees can impose financial constraints.
Condos are internally maintained by owners, while the exterior is taken care of by the HOA with the help of collected funds.	People in need of spacious living units might not find it practical.
The most advanced and well-equipped shared facilities, such as swimming pools, gardens, fitness centres, rooftop attractions, etc.	A lot of neighbours can impose noise challenges, along with reduced privacy issues.
Great choice for youngsters and senior citizens requiring economical dwellings.

Before buying a condo, take a unit on rent for some time. Practically, living there will provide genuine insights, and you will know if investing in this option will be the right move. 

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Townhouse Advantages & Disadvantages

To deepen the understanding of condominium vs townhouse, let’s also look at the pros and cons of owning a townhouse. The preceding section, along with this one, will help you make a comparison between these two options at a more comprehensive level. 

PROS	CONS
A bigger structure than a condo, as it is a single-person-owned multi-storey residential building.	Higher cost of purchase, due to being a bigger structure.
Best if requiring more space, privacy, and a single-person-owner dwelling, like a traditional freestanding home.	Increased maintenance costs to bear.
Small yards, gardens, and patios attached to the property as private outdoor spaces.	No lifts available; stairs as the only means of mobility inside and outside the property.
Reduced proximity to neighbours to a greater extent.	Walls on either side are common, thus serving both owners.
Entitlement to the land, too, like in a freestanding house.

Hence, if you need a blend of privacy and community, a townhouse will serve you best, compared to a condo! However, for an informed decision, don’t forget to carry out your own subjective analysis. Or, if you would like to explore other options, learning about construction types might help. 

Final Thoughts 

So, in this article, we have dug deeply into the topic of condo vs townhouse. If you need to choose an affordable option between these two, buying a condo is the best without a doubt. Furthermore, a neighbour-rich environment, in condominiums, makes it a perfect place for extroverts, as they can find a lot of people to socialise with and make special events memorable. 

However, if you love to be alone in peace or you require a complete no-crowd zone to recharge, owning a townhouse is your thing. However, don’t forget to value research from your end before you pick either option. Or, if you plan to build your own house from scratch, learn about construction estimating, cost, contractor, and other crucial aspects in advance, so you sail through the process effortlessly!

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