When looking to purchase real estate, the potential homebuyer can choose between purchasing a traditional house or a condominium. Apart from the location, the type of house is one of the most important decisions to make when looking to buy. There are benefits and disadvantages to both types of housing, so it is important to weigh your options.
A big advantage of a single-family house is that you have total control over the property if you wish to do any renovations. Houses also offer more space than condos do, which is a definite advantage for homeowners with pets or children. Further, according to the National Association of Realtors, houses offer more storage space than condos. Lastly, houses offer more privacy that condos do, as the neighbours are not in as close proximity as they are in condos.
The disadvantage of owning a home is that the responsibility of maintaining the home falls completely upon the homeowner. This means that when purchasing a home, you also need to budget for the extra equipment needed for upkeep, such as a lawnmower. While the improvements will increase the resell value, they will require an investment of both time and money. Utility bills, such as heat and electricity, typically cost more in a home as well, due to the larger space.
Condos are usually located in more urban areas, rather than in the suburbs. This means that they are typically within walking distance of shops, restaurants, and other areas of interest, and are overall less isolated than a home. Some condominiums also have fitness centres and pools in a communal area that owners can make use of. Condos are particularly appealing to individuals living a busy lifestyle, due to the low maintenance and convenience. Further, because association fees cover the exterior of the building and many expensive components of the structure, maintenance for the homeowner is limited just to the interior living area.
A major disadvantage to living in a condo is the association fees. While the fees cover some of the maintenance costs, they also add to the monthly payments the homeowner has to make, as association fees are in addition to mortgage payments. Another drawback to living in a condo is that all the homeowners share the decision-making process regarding the condo building. While some homeowners like the sense of community and safety that condos offer, others dislike the rules and restrictions associated.
Whether you choose to purchase a single-family home or a condo, there are a couple of factors that will determine the cost. The purchasing price of the property is a function of the location, the market, and the condition of the property – it has nothing to do with whether the property is a house or a condo.