Pros & Cons of Buying a Townhouse, Mistakes to Avoid: With the land in several urban areas expensive, townhouses are the ideal and cheapest alternative. Townhouses can be the best option for several homeowners, providing them something of a “middle ground” between condominiums and lone families. Some townhouses can provide you with the feeling you experience when staying in prime urban centers. If you are looking for 2D or 3D floor plan services, then we can assist you in the same. But, there are certain advantages, as well as disadvantages that come with buying a townhouse.
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Pros of buying a townhouse
A townhouse is an affordable option for families
If you carry out research, you will observe that townhouses are always popular in areas where the prices of properties are high and where there is a limited supply of available land. Because townhouses share walls with your neighbors, they boast more space when compared to the standard detached single-family home. Most individuals opt for townhouses simply because of their affordability, as not everyone can afford the huge bills that come with buying a house located in urban areas.
You own the interior and exterior of the building
Townhouses are like condominiums, but there exists one lucid difference. As a condo owner, you have ownership over the interior of the structure. When you purchase a hometown, you tend to have ownership over the exterior as well. With a townhouse, you have extra space for yourself and your family, unlike a single-family house.
You aren’t the only one who takes care of the maintenance expenses
When you reside in a single-family house, you alone are charged with taking care of the maintenance responsibilities; this can be quite hectic, financially. In townhouses, since you are sharing 1-2 walls with other individuals, you have fewer expenses to take care of. You are still a part of a huge community with the attached-house type of setting, and free from the hindrances that a condominium association would place on you.
Cons of buying a townhouse / Disadvantages of Townhouses
A townhouse is a row of similar houses that shares a wall that a single family usually occupies. The difference between townhouses and single-family dwelling is that they link it with another unit. A shared wall with no doorway or window separates one townhouse from the next.
Making a townhouse your home has several disadvantages which make many individuals opt for purchasing single-family units. The decision about what sort of home to buy can challenge you because you can’t know for sure how long you will stay and how much life will change. The discrepancy between what suits your current needs and your plan and what we expect for a couple more years will make the choice between a townhouse and a single-family home more complicated.
Let us, therefore, consider some cons associated with purchasing townhouses.
Limited privacy
A single-family house provides you with the best sense of privacy since it’s just you and your family, whereas a townhouse consists of you and other non-related individuals; and this could ensure that you don’t enjoy that much-needed privacy. Living in a single-family house can also provide you with a greater sense of ownership compared to living in a townhouse.
You can find townhouses in and around town centers owing to their accessibility to town, but often have less space inside and outside than single-family homes.
Townhouses often have a disadvantage because of increased traffic and less privacy owing to the proximity of neighborhoods and common walls.
A common issue that individuals living in townhouses face is privacy since you are sharing a wall with someone else on the other side. Although this condition might not be an issue for some individuals, issues might arise when the next neighbor is far from being courteous, especially if they make a lot of noise or have little kids running around and disturbing your peace. A neighbor who hates the smell of your curry dishes can even file a complaint with the association since you have limited privacy living in a townhouse.
Also, Read: What is a Duplex?
Your small backyard would also not be private because of several lots and landscaping that should be in a normal neighborhood.
It has lots of floors
Because this type of house is normally built in places where land is very expensive, they tend to contain more floors to save space. It is certainly not uncommon to see a five-story or six-story apartment with just a room or two on each floor. The design of this type of building makes it more comfortable to navigate the stairs, which can be quite difficult for individuals with certain physical disabilities. This type of house is not an ideal option for families with young children, the elderly, or people with disabilities.
Limited available storage options
If you are someone who loves to decorate every holiday, you have kids who own several toys, or you have several pieces of furniture and items, then a hometown isn’t an ideal place for you because it doesn’t have that space you may require. A single-family home boasts of attic space, a basement area, and a garage that can help you store your items.
Limited freedom
The homeowners’ association in the area can have stringent regulations and restrictions on the modifications that you can do in the interior or exterior part of the home.
Restrictions can range from being unable to paint your home with a separate color, being unable to include shed or any other item into the property, and so on. If you are the type that loves being flexible or creative about where you live, we recommend that you opt for a single-family dwelling.
They usually limit the land when you buy a townhouse. This is because of the proximity, they usually limit one unit to the one next to it which causes that yard space to limit at both the back and the front to the width of the unit. This is beneficial by reducing your migrating responsibilities, but all the advantages you associate with having a sufficient yard space would be absent like the possibilities of including landscaping or enough playing environment for kids.
Financial issues
You might think that irrespective of the property you are trying to gain, the financing is always the same, but this is usually not true. When purchasing a townhouse, your lender might consider it more like a condominium than a house.
Few lenders usually underwrite a townhouse similar to a condominium because they increase the costs.
Stairs
The living space found in many townhouses is usually vertical instead of horizontal. Townhouses that are two or three-story are also very common. This implies that to access the living space or bedroom upstairs, you need to climb up two or three stairs of flight.
This condition will challenge those having health issues with difficulty moving up and down the stairs. Some structures that care about older people have stairs for moving across properties with over one story.
Resale value
You can’t compare the resale value of townhouses in some markets to single-family units. This condition is true in neighborhoods where the number of condos and townhouses has risen over the years.
Many investors replicate this successful development in similar areas, although developing a similar home, making it newer. The challenges associated with gaining finance for townhouses have discouraged many buyers. Some lenders of townhouses require a minimum of occupancy in a city set up to protect their investment.
Monthly charges
They usually require occupants of townhouses to pay maintenance charges every month to cater for common areas. These charges can drain and is almost the same as that of a homeowners’ association when comparing types of ownership. Another unexpected charge from this transaction is the capital contribution fee. A fee is due after completing the transfer of ownership of a townhouse. This charge could amount to anything but usually three times the maintenance fee paid every month and regularly accessed with the bylaws of your association. It is important to ask about this charge if they do not list it in the MLS listing.
Conclusion
buying a townhouse, like any real estate purchase, can have its own benefits and drawbacks and should be evaluated based on your personal financial situation, lifestyle preferences, and other factors.
The benefits of buying a townhouse can include:
- Affordability: Compared to single-family homes, townhouses are often more affordable, making homeownership more accessible to a wider range of people.
- Maintenance: Townhouses often have lower maintenance costs because the exterior and common areas are managed by a homeowners’ association.
- Location: Townhouses are often located in more densely populated areas, providing access to urban amenities and a more walkable lifestyle.
- Amenities: Many townhouse communities offer shared amenities, such as swimming pools, parks, and community centers, that are not typically available in single-family homes.
Drawbacks of buying a townhouse can include:
- Space: Townhouses typically have less square footage than single-family homes, which may not be suitable for families with children or those who desire more space.
- Homeowner Association (HOA) fees: Townhouses are typically subject to HOA fees, which can be substantial and may increase over time.
- Restrictions: Townhouses are often subject to restrictions imposed by the homeowner association, which can limit personal freedoms and impose restrictions on home modifications.
Overall, whether buying a townhouse is a good decision will depend on your individual needs, preferences, and financial situation. Before making any real estate purchase, it is important to do your own research, consider your budget, and consult with a financial advisor.