When you’re deciding what type of home to buy, the options can seem overwhelming. Not only are you making a choice about where you want to live, but you’re also making choices about the kind of lifestyle you want to live, what neighborhood you’re going to be living in, what kind of school you want for your kids, how far you’ll need to commute to work, how big of a living space you want, how much time you want to spend on upkeep, and on and on. One choice that contains several of these choices is the choice of whether to purchase a single-family home or a townhome.
What’s the Difference?
A single-family home is a house that stands alone and doesn’t share any walls with any other home. It’s intended to only house one family or communal group of people and has a yard. A townhome, on the other hand, is generally a two-story home that shares at least one wall, often two walls, with another unit and may only have a patio.
- Location: Single-family homes can be in any kind of setting, urban, suburban, or rural, while townhomes are often in an urban setting near shopping, restaurant, and transportation hubs. Those who love the convenience of being near downtown amenities will find townhouses more suited to their liking.
- Purchase Price: Today’s townhomes are larger than they used to be and run a close competition on space with single-family homes. But they’re often lower in price. For this reason, first-time home buyers are often drawn to townhomes.
- Maintenance Expenses: Townhouses will generally have monthly homeowner’s association (HOA) fees and outdoor maintenance fees. While this can seem expensive, these fees often cover things such as lawn care; pest control; trash, water, and sewer services; exterior repairs and painting; pool maintenance (if there is one); driveway maintenance, and the like. For homeowners that prefer to budget for a set fee and enjoy not having to worry about outside repairs and maintenance, a townhouse is an attractive option. Generally, homeowners of single-family homes are responsible for all repairs, maintenance, and utilities, both inside and outside.
- Exterior Options: Homeowners of single-family homes generally have more choices on how they want the exterior of their home and yard to look. Townhouse owners are limited to a uniform style, decided on by the HOA. For instance, if the majority of the homeowners decide on a certain exterior color, the dissenting homeowners will just need to adjust to it. The grounds, outside of perhaps a small patio, are also subject to HOA decisions.
So what are you drawn to? A townhome in a convenient, urban location that’s close to museums and entertainment? Or a spacious home with a nice yard for your kids and the dog? Either option is possible with modern home loans available through your local mortgage lender.