What is a townhouse?


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Townhouses have been around for centuries, but they’ve experienced a resurgence in recent years, comprising 13 percent of new construction of single-family homes. They’re poised to remain in favor, as today’s buyers look for low-maintenance homes in walkable neighborhoods.

What is a townhouse?

Townhouses are multi-floor homes that share one to two walls with adjacent properties but have their own entrances. In the suburbs, townhouses are often uniform homes built in a distinct community that may have its own homeowners’ association.

Newer urban townhouses may also have a uniform look and an association, but older townhouses in cities tend to be more traditional rowhomes that can stretch for city blocks with less-restrictive or no HOAs.

Townhouse vs. condo vs. apartment – what’s the difference?

Though there’s some overlap among these housing types, condos are generally units in larger buildings with multiple floors and multiple units on each floor. They are individually owned but may be rented to tenants. Apartments are strictly commercial rental units owned by a corporation and everyone in the complex rents.

However, townhouses are often rented to tenants as well by the owners of the unit, depending on the restrictions of the community.

This story explains more about the differences between the three housing types.
This story covers the basics on condo versus the townhouse.

What are the pros and cons of buying a townhouse?


  • Cost: Because you’re sharing the walls and the footprint is smaller, townhouses are typically less expensive than single-family homes in the same area even if they have a similar square footage. “You can get a lot of space close to the cities, when you’re only paying for the inside of the house and not the acreage of the yard of a single-family home,” says Ben Hoefer, a broker with John L. Scott Real Estate in Seattle. “It can be a cost-effective way to get more of what you want.”
  • Maintenance: The smaller size of a townhouse means that they require less maintenance. If there’s an HOA, it may take care of the exterior maintenance on the property.
  • Amenities: Townhouses built as part of a development may include amenities such as a pool or clubhouse.
  • Outdoor space: Townhouses often come with access to a small amount of outdoor space or a patio and possibly a private garage.


  • HOA: Some people don’t like to live with the restrictions put in place by an HOA.
  • Noise pollution: Since you’re in close proximity to your neighbors, you may have to deal with more noise and traffic than you would in a single-family home.
  • Multi-floor living: Multi-floor living may not be sustainable for everyone. “They are usually pretty vertical,” says Paul Gorney, a Realtor with Coldwell Banker Residential Brokerage in Chicago. “It can be an issue for some older homeowners.”

7 tips for buying a townhouse in 2019:

1. Consider your budget

As with any home purchase, you’ll need to ensure that you can comfortably afford a townhouse before you start shopping for one. Make sure your budget includes not only the cost of the property itself but also your HOA payments, if applicable.

2. Make a must-have list for the community

You probably already know what you want from the house, in terms of bedroom size, layout and other factors. With a townhouse, it’s important to also consider what you’d like in the community, such as a community pool, a less restrictive HOA, or a security gate at the entrance.

3. Perk up your ears

Shared walls means it may be possible to hear what’s happening in your neighbor’s house—and vice versa. When you’re checking out houses, listen carefully to see how much sound travels from next door. (If you’re able to purchase an end unit, you’ll only have to worry about half the noise.)

4. Check out the common areas

If you’re planning to use the community gym or a game room, view them before you make the purchase so that you know what to expect.

5. Talk to your future neighbors

It’s always a good idea to talk to potential neighbors when you’re considering buying a home. It’s particularly important when buying a townhouse, since you’ll be in closer proximity to them. Ask them what the vibe of the community is like, and if there are any HOA issues that you should know about.

6. Read the HOA rules

Homeowners associations may restrict everything from the color you paint your door to whether you’re allowed to park in your own driveway (as opposed to your garage). “Some people want more restrictions and a more uniform look throughout the community,” Hoefer says. “Some people want more freedom. The good news is that there are lots of options from different HOAs, so you can find the right one for you.” Make sure you’re comfortable with the HOA rules—and the financial commitment—before you go ahead with a purchase in any community.

7. Think long-term

While a townhouse may make sense for you now, multi-floor living may not work for everyone and at all stages of life. If you’re planning to expand your family or are worried about your ability to traverse steps in the future, you should have a plan for whether you’ll be able to stay in the property.

Who is townhouse living is best for?

Many types of homeowners can benefit from townhouses, but they’re a particularly good option or first-time homebuyers or other budget-minded home buyers who want more space than typically afforded in a condo.

Find other housing types:

House type Who it’s right for:
Apartment Apartments are suited for anyone looking to stay in a prime location for a cheaper price near shopping, restaurant and entertainment centers, often at a more affordable cost than buying a condo or single-family home.
Condominium Condos appeal to those looking for a lower-maintenance living, home with a sense of security, opportunities to be social with neighbors, among other factors.
Townhouse Townhouses are a particularly good option or first-time homebuyers or other budget-minded home buyers who want more space than typically afforded in a condo.
Modular home Modular homes are enticing to empty-nesters looking to downsize, couples looking for backyard units like tiny homes or families looking to upgrade their dated properties in nice but expensive neighborhoods.
Single-family home Single-family homes are best for families who prefer a huge yard and plenty of room to spread out. Others still prefer a low-maintenance condo or townhome that includes benefits like landscaping, snow removal and exterior maintenance.
Multi-family home Multi-family homes are best for those who are interested in getting into real estate investing and are comfortable with the added responsibility and time commitment that comes with being a landlord.
Bungalow home At between 1,000 and 2,000 square feet, bungalows are a great option for young families looking for a starter home or retirees hoping to downsize in a home without stairs, or single homeowners who want the single-family home lifestyle without managing a huge property.
Patio home Typically capped at one-and-a-half stories and part of a larger association, patio homes are best for homeowners who don’t want to deal with stairs or maintenance.>
Ranch home Ranch homes are ideal for anyone who prefers single-story living. Singles, couples and families with children can find something to love about a ranch home.