Presale Condos vs Presale Townhomes. Which one is Better
Thinking about buying some presale real estate here in Surrey or Lower mainland?
Two of the most popular options are presale condos and presale townhouses. Deciding whether you’d best suit a condo or townhouse is a big decision to make. In this blog post we’ll go over the differences between a townhome and a condo and whether you should buy one or the other.
Of course, price, location, pre construction contract, date of completion and developers’ reputation play a part in your decision.
According to a study done by Royal LePage, 18% of newcomers in Canada buy a condo vs 15% opt for a townhouse. While the results appear closely related, there might be some stark differences between the two property types
What is a Presale Condo?
A presale condo is a type of preconstruction condo that developers offer to the public before the building is complete.
Buyers are offered the opportunity to purchase units at a reduced price, knowing they will eventually pay the full price when construction is finished.
Although buyers must eventually pay the entire price of the presale condos, a mortgage loan is not required until the unit is completed.
A presale condominium is similar to an apartment in that it’s an individual unit residing in a building or community of buildings.
Read Our Complete Presale Buying Guide here
What is a Presale Townhome?
A townhouse is a housing style where there are multiple independent and identical houses that are usually in a row.
Homes that have a townhouse style usually come with a front and rear yard, giving plenty of private outdoor space.
A townhouse is an attached home also owned by its resident. One or more walls are shared with an adjacent attached townhome. Think rowhouse instead of apartment, and expect a little bit more privacy than you would get in a condo.
A presale TOWNHOME is a home that has not been built yet, but the developer has sold all of the units in the building and is offering them for sale before construction begins.
Some people prefer to buy a presale townhouse because they want to be able to customize their unit before moving in by choosing paint colors or flooring options, etc.
Presale Condo VS Presale Townhomes (The Basics)
When you purchase a presale condo, you personally own your individual unit and share joint ownership of the building with the other owner-tenants.
That joint ownership includes not just the building structure itself, but its common amenities, such as the gym, pool, and grounds, as well as the airspace.
Townhouse presale ownership is more in line with ownership of a detached single family home once your property is completed.
The pre construction property would usually give you the luxury of personally owning the structure and the land it sits on—the difference is just that the structure shares some walls with another structure
Strata Fees Cost
Even with monthly strata fees, owning a presale condo or a presale townhouse typically tends to be more affordable than owning a single family home.
In terms of condo vs. townhouse purchase prices, presale condos tend to be cheaper to buy, since you’re not investing in any land.
But presale condo strata fees also tend to be higher, since there are more jointly-owned spaces and tons of amenities that the condo owners can use in a shared space setting.
Resale & Appreciation Value
There’s no such thing as a sure investment. The resale value of your home, whether it’s a presale condo, presale townhome, or single family detached, depends on a number of market factors, many of them outside of your control.
But when it comes to the factors in your control, there are some benefits to both condo and townhome properties.
A well-run strata council will always ensure that common areas and general landscaping always look their best, which means you’ll have less to worry about when it comes to making a good first impression regarding your building or building community.
When it comes to appreciation rates, condos have generally been slower to grow in value than other types of properties, but times are changing.
If you buy a presale condo in a prestigious location which is closer to skytrain station, is close to public schools and leverages the centralized location, you can be most certain that you’ll make money.
Whether you choose to buy a presale condo or townhouse always remember real estate tactic 101:
LOCATION, LOCATION, LOCATION!
Figuring out your own answer to the presale condo vs. townhouse debate comes down to measuring the differences between the two and seeing which one is the best fit for your family, your budget, your future plans and the location of the property.
The city of surrey has seen huge appreciation of properties in last couple of years, so there’s isn’t really a perfect answer.
Both pre-construction properties have their pros and cons, and both have a fair amount in common with each other.
The key to Finding a nice presale property is finding a real estate agent that will help you buy a presale property that you want to buy and then dig in to the details of ownership, fees, and cost. From there, you’ll be able to make the best decision.
For more information on condo developments in Surrey, contact the team at Ipresalecondos.
Ipresale Condos is not just an agency that sells real estate, but our agents believe in educating each client deal with their own professional situation.
Please call or text at 604-825-8881 or email at email@example.com