House VS Apartment: Which one is Right for You? There are pros and cons to both houses and apartments. At the end of the day, both of them are a place to live. The right choice for you will depend on your particular situation.
Do you move every one or two years? Then an apartment is the best choice for you since you can choose monthly or annual leases. Don’t buy a house when you have to pay realtor and legal fees to sell it in a year or two. Worse yet, you may have to pay mortgage payments on a home you’re trying to sell on top of the rent or mortgage on your new address. However, if you plan on staying somewhere for at least five years, then a house is a suitable choice.
When you rent an apartment, renovations require the permission of the property owner unless you’re just changing out the blinds. On the other hand, a single-family home can grow with you. You can renovate the house to convert one room into another. You could add on a bedroom, build a deck, or renovate the property to be more handicap accessible. There are no limits on who can move in with you except those you set.
An apartment is generally the cheaper choice. You pay the rent. You don’t have to pay for the upkeep of the property. Your utilities may even be included. More importantly, the apartment is typically part of a building or apartment complex, reducing the cost of construction and upkeep over a rented house or owned home. This means you’ll pay less for an apartment than a house in a given neighborhood if they have the same living area. Another reason apartments tend to be cheaper is the fact they’re typically smaller than the average home. If money is tight, it’s usually better to rent instead of buying a home. And renting gives you the flexibility to move to a smaller apartment or cheaper neighborhood if needed.
When you own a home, you also have to pay for bills like property taxes and homeowner’s insurance on your own. When you rent, property taxes and insurance are essentially part of your rental payment and used by the property owner to pay these bills for the entire estate. Compare home insurance policy rates for your home and apartment with iSelect.
Suppose money isn’t the determining factor. Are you willing to repair a broken hot water heater, holes in the roof or broken sprinkler? Do you want to cut the grass and clean the pool? If you don’t know how to do this work, you have to pay someone to do this out of your pocket. If you know how to do it, you may not have the time, physical ability, or personal desire to do it. This is why many retirees sold their home and moved into an apartment building or condo building that does all the maintenance work for them.
Condos and apartments are often smaller and always more densely packed in than single-family homes. This means they’re likely to be closer to downtown areas and amenities. Renting an apartment or condo may be your only option for living in a dense urban area. If you move to the suburbs, you may struggle to find an apartment to rent unless it’s someone’s mortgage helper. This means that your choice may be determined by where you want to live.