House, Apartment, or Townhouse? The Pros and Cons of Each
Australians are spoilt for choice when it comes to housing. With 10.9 million private dwellings across the country, there’s a wide variety of options to suit different budgets and needs. Casting your net wide can open up opportunities you may not have initially considered.
So, let’s break it down and look at the key types of housing available.
Houses – Freestanding, Semi, or Terrace?
Houses are the dominant property type in Australia, making up around 70% of private residences. But even within this category, there’s variation.
Detached houses are standalone properties that don’t share walls with neighbours.
Semi-detached houses share a common wall with the next-door property.
Terrace houses are typically older homes built in rows, often seen in heritage neighbourhoods.
Pros of houses: Historically, houses have shown stronger capital growth than other types of residential property.
Cons of houses: They often come with a price premium. Nationally, the median house price sits at $879,680, compared to $669,700 for apartments.
Apartments
Apartment living has been gaining popularity, with one in six Australians now calling an apartment home. And the trend is growing—by late 2024, apartments accounted for nearly 40% of all property search queries on realestate.com.au.
Pros of apartments: Affordability is a key drawcard, along with low-maintenance living—no lawns to mow, no gardens to maintain.
Cons of apartments: Strata levies can add to ongoing costs, especially in newer buildings with extensive facilities.
Townhouses & Villas
If you’re after something more affordable than a house but want a little more space than an apartment, a townhouse or villa could be the perfect middle ground.
Townhouses typically have two storeys, offering more living space while keeping the footprint compact.
Villas are usually single-storey homes within a complex.
Pros of townhouses & villas: They often come with a small garden or courtyard, offering more private outdoor space.
Cons of townhouses & villas: They fall under strata schemes, meaning you’ll need to factor in strata fees.
Duplexes
A duplex is like a modern semi-detached home, where two separate residences share a single wall but are often built on a larger block. While less common, they can be a more affordable way to own a home without sacrificing too much space or privacy.
Pros of duplexes: They offer a blend of privacy, affordability, and low-maintenance living.
Cons of duplexes: Both duplex owners must agree on a shared building insurance policy, which can sometimes complicate things.
Which Option is Right for You?
Choosing the right property comes down to your personal preferences, lifestyle, and—most importantly—your budget. Often, buying property involves trade-offs between location, space, and price.
That’s where we come in. If you want a clear idea of how much you can borrow, get in touch today. Knowing your budget can help you narrow down your property choices and get one step closer to finding the perfect home or investment.
Disclaimer: This article provides general information and should not be considered financial or tax advice. It does not take into account your personal circumstances. Always seek professional advice before making financial decisions. This content is protected by copyright laws and cannot be modified, reproduced, or republished without prior written consent.
