Townhouse vs apartment: Understanding the difference

When deciding between a townhouse and an apartment, it helps to understand how they differ in space, cost, and lifestyle. Both offer unique benefits, but the right choice depends on what matters most to you. In this guide, we break down what makes each option unique, compare their pros and cons, and share tips to help you decide which one fits your lifestyle.

This article is not intended to and does not constitute legal advice or create an attorney-client relationship. Board members should consult their association’s attorney to discuss the legal implications of their decisions or actions prior to proceeding.
 

What is a townhouse?

A townhouse is a multi-level home that shares one or two walls with its neighbors but has its own private entrance. Many townhouses include a small outdoor space, like a patio, balcony, or backyard, giving residents a bit more room than most apartments. They’re often designed like single-family homes, with two or three floors, but arranged in rows to make the most of available space. Some townhouses are individually owned, while others fall under a homeowners association (HOA) that oversees certain shared responsibilities. In many cases, owners handle their own roofs, exterior walls, and private outdoor areas. Townhouses are a popular choice for buyers who want the benefits of ownership without the full cost of a detached house. They’re especially popular among families or professionals who want more living space but still want to be close to city centers.
 

What is an apartment?

An apartment is a single-level home within a larger building or complex, typically rented from a landlord or managed by a property management company. Some apartments can also be owned individually. Because apartments share a single structure, residents use common areas such as lobbies, hallways, pools, gyms, or laundry rooms. Maintenance is usually handled by the landlord or management team, so tenants rarely have to worry about repairs or landscaping. Apartments are generally smaller than townhouses and are designed for convenience and affordability, making them a great option for people who value location and amenities more than extra space or privacy. Many apartments now offer upgraded amenities like coworking spaces, dog parks, or package lockers, which can add significant value for renters who want lifestyle perks without committing to long-term ownership.
 

Difference between townhouse vs apartment

The biggest difference between a townhouse and an apartment comes down to structure and ownership. Townhouses are usually owned and may follow HOA rules, whereas apartments are most often rented, with maintenance handled by a landlord or property management team.

Space and layout are also key differences. Townhouses typically have multiple floors, larger kitchens and bedrooms, and distinct living and dining areas. Apartments, on the other hand, keep everything on one level and are designed for efficiency and convenience.

Privacy is another factor. Townhouse residents don’t have neighbors living above or below them, while apartment residents share walls, floors, and ceilings with other units.

Finally, living in a townhouse vs an apartment varies in cost and upkeep. Townhouses often come with higher purchase prices, HOA fees, and personal maintenance responsibilities. Apartments can be more budget-friendly.
 

Pros and cons of townhouses and apartments

Townhouse pros:

• Townhouses usually offer more space, with multiple floors and often a patio, balcony, or small backyard.
   
• You’ll have more privacy than in an apartment since there are fewer shared walls and no one living above or below you.
   
• Buying a townhouse gives you the chance to build equity over time, just like a single-family home.
   
• The layout and feel are closer to a traditional house, which many people prefer.

Townhouse cons:

• Costs are higher, with a mortgage, property taxes, and possible HOA fees to consider.
   
• You’re responsible for most of your own maintenance and repairs.

Apartment pros:

• Apartments are typically more affordable than townhouses, especially if you’re renting.
   
• Maintenance is minimal, since management usually takes care of repairs, landscaping, and building upkeep.
   
• Many apartment communities offer shared amenities like pools, gyms, and laundry facilities.
   
• Flexible lease options make apartments a good choice for short-term or transitional living. If you’re not ready to commit to buying, renting an apartment lets you adjust more easily if your job or lifestyle changes.

Apartment cons:

• Less privacy, with shared walls, hallways, and common spaces.
   
• Smaller living areas and little (if any) private outdoor space.
   
• You usually can’t customize or renovate the unit to your liking. Even small changes, like painting walls or upgrading fixtures, often need landlord approval.

Choosing an apartment vs townhouse

Deciding between a townhouse vs an apartment comes down to how you want to live, what you’re comfortable spending, and how long you plan to stay. A townhouse may be a good fit if you want more space, extra privacy, and the chance to own and build equity. It’s closer to single-family home living, but it does come with added costs, routine upkeep, and possible HOA rules to follow.

An apartment works well if you want something affordable and low-maintenance. Management handles most repairs, and shared amenities like pools or gyms can add convenience. Apartments are especially appealing if you’re renting, moving often for work, or not ready for the commitment of ownership. Luxury apartments are also an option for an upscale lifestyle. Think about your priorities: how much space you need, how much time you want to spend on maintenance, and whether you’re ready for the financial responsibility of ownership.
 

How FirstService Residential partners

Whether you choose a townhouse or an apartment, having the right management team can make a big difference in your experience as an owner or resident. FirstService Residential is North America’s leading residential property management company, providing expert support for both townhome communities and multifamily rentals. Our teams handle everything from financial management and maintenance planning to vendor oversight and resident communication, helping boards and owners keep their properties running smoothly.

If you’re looking for a management partner who understands the unique needs of townhouses and apartments and can help protect your property’s value, contact FirstService Residential today to learn how we can help your community thrive.