There are perks to purchasing either a condo or a single-family property and while either are great choices, let’s breakdown out the differences so you can make the best decision on your next real estate purchase.
Condominium
A condo or condominium is a single unit of many in a residential building(s) or complex; and while it may seem like an apartment rental, the difference is that each unit is owned by an individual. If you are the owner of a condo, you are fully responsible for repairs and upgrades within your unit’s properties while the common areas are maintained by the building management company. This building management is paid monthly via dues called a HOA or Home Owners Association fee.
Single-Family Home
A single-family home in contrast with a condominium unit is a typically a self-standing house that sits on a property lot that would be fully owned…by you. Statistics show that a single-family home, while it is more expensive and more costly to maintain and/or repair, Americans find the “Pride of Ownership” feeling more desirable versus owning a unit of a larger condominium complex. While both condos and single-family homes have their pros and cons, either option of owning real estate is regardless a sound investment.
Condos: Pros and Cons
| Pros | Cons |
|---|---|
| Monthly Savings | HOA Fees |
| Less Maintenance Worry | Shared Common Areas |
| Amenities | Less Privacy |
Houses: Pros and Cons
| Pros | Cons |
|---|---|
| Pride of Homeownership | No Built-In Amenities |
| No HOA Fees | Full Responsibility of Maintenance |
| Privacy | More Costly |
Condos At A Glance
AMENITIES AT YOUR FINGERTIPS
Most condo communities offer an array of amenities such as infinity pools, saunas, gyms with fitness classes, Wi-Fi, Dog Parks, tennis courts, and Smart Locks. These can be necessities for people who are looking to host and entertain clients and friends, or those who work-from-home during most of their career.
MONTHLY SAVINGS
The cost of owning a condo, in comparison to a single-family home, can be significantly less expensive even with an HOA fee and monthly utility bills. Why? The purchase price is less, and you’re not being charged for land ownership. This has a significant impact on the entire monthly payment and can be cost effective, if saving is a priority to you.
LESS MAINTENANCE WORRY
Although condos are managed by a Homeowners Association (HOA), it may seem that you have less control over what you can and cannot do within your space, but it can also mean that HOA will take care of the exterior maintenance, which we know can be costly and laborious. If this creates an opportunity cost for your future goals then purchasing a condo for the time being can do two things: give you the experience of owning real estate, and also catapult you into your next investment venture!
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