Freehold Vs Condominium, Which One is the Best?

When it comes to the comparison of Freehold Vs Condominiums, you need to know that there has been a great demand for freehold townhouses in many areas of Toronto in recent years. In fact, it is a great option for first-time buyers because it has a lower price compared to detached and semi-detached homes. Before deciding to move from condominium townhouses to freehold townhouses or vice versa, you need to know the differences carefully.

Freehold townhouse

Freehold Townhouse, aka Row House, is a type of Toronto home attached by both sides but with detached house rules. There are no maintenance fees, condo board, and common areas.

These types of houses are usually on a public road, and the owner is responsible for everything related to their home. Since monthly costs seem to be a big issue, people generally think that freehold townhouses are the best for first-time buyers. However, there are some disadvantages to this type of householding as well. Generally, this type of housing is great for first-time buyers, buyers who want freedom of the house without paying too much money, and investors.

Advantages

There are no maintenance fees in these types of Toronto homes, so that you can save a lot. It also helps first-time buyers to look for high-value homes rather than a simple traditional condo. In fact, you are responsible for your home, but the point is that you can decide where and when to use your money.

Disadvantages

Having no maintenance fees is a good feature from some aspects. However, there is no one responsible for your home. Besides, these types of homes don’t age well. Although they are considered more affordable, due to the high demand for these houses, the prices are not as affordable as before.

Related Article: Buying Condo vs. House in Toronto

Condo Townhouses

Although freehold townhouses have become popular through these years, the majority of townhouses in Toronto are still condo townhouses. The condominium is a type of home where you pay maintenance fees for upgrades, renovations, repairs, etc., in common areas. In fact, Toronto condos are the best for those who want to live in a more expensive area with less money. Also, if you travel a lot and you don’t have time for exterior upkeep.

Advantages

Maintenance fees in Toronto condos cover large expenses, including roofs and windows. The condo townhouses are generally more affordable than freehold townhouses in Toronto. The reason is that Toronto condo fees are considered in overall carrying cost. As a result, buyers have less money on the mortgage. In fact, you can buy homes in expensive areas at a lower cost compared to condo townhouses.

Disadvantages

Maintenance fees usually increase over time in Toronto condos, impacting resale value. Condo townhouses have specific rules that you should follow, and you cannot do whatever you want! On the other hand, the condo community is great only if its management company is great! Therefore, you should check the history of the company before buying. Also, capital expenses such as roads cost a massive amount of money, and if the finance does not go very well, it’s possible for you to pay extra money called a special assessment.

Related Article: Are Condos A Good Investment?

Conclusion

As mentioned, when you want to compare Freehold Vs Condominium,  freehold townhouses have no maintenance fees, but you need to know that the prices are higher because of its high demand in recent years. However, in Toronto condo townhouses, you need to pay maintenance fees since the company does the maintenance and upgrades.

However, the advantage of Toronto condo townhouses is that you can live in an expensive area with a much affordable buying cost. You need to contact a Toronto real estate agent to help you find the best Toronto real estate that fits your needs.