Townhouse or Condominium: What's Your Style?

Townhousesandcondominiums, more frequently referred to astownhomesandcondos, are rapidly becoming the first choice in housing for many people who would not have thought about this style of home in previous years. They offer a number of advantages for certain buyers and a wide range of prices - from entry level for first-time buyers to luxury models for more mature and affluentbuyers.

While these the two terms are sometimes used interchangeably, they actually denote two unique types of housing: A townhouseis a single-family dwelling unit constructed in a series or group of attached units with property lines separating such units. A Condominium or suite of rooms, is designed for dwelling most usually similar toan apartment. A condominium is usually owned and occupied by the same person, as differentiated from an apartment which is usually owned by one party (alandlord) and occupied by another (atenant). Townhomes are built as single- or multi-story units - each with at least one separate outside entrance.

Condos areindividual dwellings within a single building, often multi- story,with several adjoining each other, often with at least one entrance to each from a common hall or entry area. With ownership, the condominium owner also shares tenancy with other units owners in the common areas, such as the driveways, parking, elevators, outside hallways, recreation, and landscapes areas that the homeowners association homeowners. A majority of states have adopted statutes to cover the issues that are involved with development, construction, management, and taxation of condominium projects. When we talk about ahouse, we're usually referring to a free- standing, single-family residence. The main defining characteristic of a house, besides the fact that it is free-standing, is the extent of ownership responsibility assumed by the buyer. The owner of a house owns the building itself, as well as the land, and is responsible for all upkeep associated with those areas, including lawn and landscape maintenance, painting, repairs and real estate taxes. Atownhouseis like a house in that the owner owns both the structure and the land on which it sits but it is not free-standing, so "the land on which it sits" is limited to the front and back yards.

Townhouses are connected to one another in a row, and are usually two or three stories tall.It is important to note thattownhouserefers to thetype of houseand not to thetype of ownership. The ownership responsibility in atownhouse (townhome)is the same as for ahouse;however, there may be differing circumstances from development to development, city to city or state to state regarding who owns the outside walls, roof, etc. of the structure which must be verified with local authorities. Liketownhouses,condominiumsare attached to one another. If you own a condo, you do not own the land surrounding your living space. A condo owner owns only the unit itself, which is taxed as an individual entity, and sometimes a percentage of the common areas of the community.It is important to note thatcondominium (condo)refers only totype of ownershipand is NOT atype of house. Many people - including some real estate professionals - are not aware of this distinction. The key is that people often mistake “type of house”with“type of ownership”.