Whether you are new to the real estate market or already own your home, it may be time to ask the question: what type of home is best for you and your family? With life changes, the requirements of a home change, too, and there are various types of residential home styles that might appeal to you, whether you’re single, have pets, are married with kids, have a growing family, or are downsizing the family home. Here are a few insights into the various types of homes available:
- Detached Homes – This is one of the most common housing types along with condos. The detached home is a free-standing structure on a parcel of land. This home and the surrounding parcel of land would be yours to maintain. Typically with 2 or more bedrooms, these homes make a perfect start for anyone with a family and kids. The great part about having a detached home is the option to extend your living space outdoors in warmer seasons. Downsides to having a detached home can be the increased cost to heat the home, maintenance of the land and upkeep of the building itself.
- Condos – Condos are a great investment for newly married couples, small families and single folks. The drawback to having a condo would be the smaller space and – traditionally – no yard. When it comes to condos, buildings have a strata council of owners that manages all the owners’ strata payments to ensure things such as utilities are paid and a reserve of money is saved for future renovations, upgrades and maintenance, like a new exterior or roofing. The great part of a condo is that you own only the interior of your own unit – anything beyond the walls or common areas falls to the responsibility of the strata council.
- Townhomes – Townhomes are similar to condos in that any common areas and exteriors are managed and maintained by a strata council formed of owners. The main difference between townhomes and condos is typically square footage. Townhomes are usually multi-level and, depending on the townhome complex, can also have small yard areas, perfect for children or pets. In living in a townhome, you will likely have neighbours on either side of your unit.
- Duplex (Multi-Family) – Duplexes are becoming less common these days, as they are increasingly being replaced with townhomes. Duplexes do allow for more freedom, similar to a detached home, with the exception of either a shared wall or floor between the units. As the building is connected to another residence, any exterior expenses would be handled between yourself and the neighbour directly. The decision for any exterior modifications would need to be agreed upon with the other owner of the building. With a duplex, you have the luxury of a larger home with a yard – perfect for young families who cannot afford a fully detached home.
- Modular Homes – The modular home is a significantly less expensive alternative to having your own detached home. Typically, you would purchase the modular home from a supplier and they would deliver this to the modular home park you choose. These homes need to be placed on a cement “pad”. This is to ensure buildings are supported as well as to hook up to utilities. The disadvantage of being in a modular home park is that you own the home but you pay rent for the “pad”. This aside, the home itself will traditionally have a yard and multiple bedrooms with ample living space.
- Condo Hotels – This is a popular home trend in the United States that has made its way up to Canada. This home works almost like a timeshare. You purchase a portion of the condo such as 1/4th, 1/8th or 1/16th, whichever you prefer. Based off your share of ownership of the condo, you are given a set number of weeks in which the condo is yours. In that given time, you have the ability to occupy the unit for personal use or rent it out as a hotel room. The rental income is then distributed between the owners based off the number of days they have it in the rental pool. The drawback is that there’s no personalization in the units, as all condo units need to be the same for the purpose of the hotel model. This would be a good investment for a vacation property, but it is likely not an ideal home for year-round living.
Whichever type of home seems like the best fit for you, it’s important to consider future changes as well. When you are deciding to enter or re-enter the real estate market, it is beneficial to plan five years ahead and ensure you are purchasing the right home for your family’s current and future situation.
Reach out to us at Centum Mortgage Store, Ltd. today to discuss the best options to achieve your home ownership goals.