Townhouse vs house: what you gain and give up

For many buyers the real choice is between a townhouse in the suburb they want and a house further out. Here’s what changes when you pick one over the other.

Price and location

A townhouse is usually cheaper than a house in the same suburb because you’re buying less land. That can put an established suburb — closer to work, schools or family — within reach on a budget that would only buy a house further from the city.

Land

A house usually comes with more land, and land is a large part of what a property is worth over time. A townhouse gives you a smaller share of land, or a share of common property, in exchange for a lower price.

Maintenance

With a townhouse there’s less garden and less building to look after. In a strata or community scheme, shared areas such as driveways and landscaping are maintained by the owners’ group and paid for through levies. With a house, all maintenance is yours.

Privacy and noise

A house has no shared walls. A townhouse shares at least one wall with a neighbour, so ask how those walls are built. Townhouses also tend to have smaller outdoor spaces that may be overlooked.

Rules and fees

Most townhouses come with levies and by-laws or rules that can cover pets, renovations, parking and short-term letting. A house on its own title has no levies, but you pay for everything yourself, including building insurance.

Which suits you

• Choose a townhouse if location matters more than land, you want less maintenance, or you’re ready to trade some privacy for a better address.
• Choose a house if you want a big garden, room to extend, no shared walls and no owners’ group.

Weighing up an apartment too? Read townhouse vs apartment.

This is general information, not financial or legal advice. Get advice that suits your situation before you buy.