Buying a Home: Freestanding House VS Apartment
Finding the right property to buy isn’t easy. There are many things to consider, including whether you want to buy a freestanding house or a flat.
Both have pros and cons. Living in an apartment often means you don’t have as much responsibility in terms of maintenance.
If there’s an issue with the building (for instance the roof leaks) it is up to the superintendent to deal with the issue. However, there are some advantages to buying a home than an apartment.
At PropertyFox, we have a look at all the factors involved with either investing in a freestanding house or an apartment.
The first big difference between buying a house and apartment is the legal interest you will be acquiring. Buying a house will mean you are buying a freehold interest; buying an apartment will involve acquiring a long leasehold interest.
Investing in a freestanding property is simpler to finance and requires less start-up cash, but you can expect a greater return per unit on apartments. More units in a multifamily community mean less dependence on individual tenants and on maintaining a high occupancy rate.
Outside property management is usually cheaper per unit for apartments than houses. Houses tend to be easier to sell than apartment complexes, but they appreciate more slowly in many areas and their prices fluctuate more.
The first big difference between buying a house and apartment is the legal interest you will be acquiring.
Investing in multifamily housing often requires greater expertise, as there are many more variables and risks that are not immediately obvious.
Factors to Consider When Thinking of Investing
A home should fit around a family. Choosing the perfect home starts with the centre of your life: your family. Whether you’re a five-member family or a coupled-up duo, you need to determine what size property you purchase.
Apartment living is great for couples starting out in their careers but living in a larger house would better suit a family.
What you can afford will also determine your choice between an apartment or house. It’s often cheaper to purchase an apartment than a house, but this also varies, depending on location and size.
If you love to entertain and enjoy having friends and family stay over, choosing a house over an apartment may be more sensible. Hosting rowdy dinner parties won’t make you very popular with your neighbours in an apartment block. Having a ‘lock up and go’ apartment, however, may suit your needs better if you’re a regular jetsetter.
Your family’s needs will be a big deciding factor when choosing between an apartment or house. Your perfect home should be closely located to your work, children’s schools, and other important amenities. A suburban house that’s a short drive away from your office and the children’s schools would be the typical choice for a growing family, while a city apartment that’s close to work would be better suited for a young couple or a singleton.
Your hobbies may also play a role in your decision. If you enjoy gardening, choosing to live in a house with a large garden may make your green thumbs happy, although it’s not impossible to grow vegetables and herbs while living in an apartment.
Whether you choose a house or an apartment, it is up to you to discover what will be the most fulfilling for your personal needs. Now that you know what suits you best, let the great search for your perfect home begin!