Townhouse vs Condo

[NCMtns]

I understand the difference between Townhouses and Condo's. Condos are easy to identify if they have multiple stories of units. But it gets challenging when there are not multiple stories. Realtors and even legal documents use the terms interchangeably.

I have a deed that says " The Grantor does grant, bargain, sell and convey unto the Grantee in fee simple, all that certain lot or parcel of land and described as follows:" " Being Cottage x of "HOA y", a Condominium, as described in the Declaration of Condominium of "HOA y". Fee simple implies land ownership but it is also being referred to as a Condo.

What document(s) do you like to refer to, to come to a conclusion that a property is a condo or townhouse?

 

[Digger88]

what does the subjects legal description say?

 

[TerryRohrer]

See if you can find a "Description of Unit" in the Declaration of Condominium (Declaration of Unit Ownership in my market area). Here, when it is a townhouse, that provision includes something like "Each unit includes the area bounded by the exterior surfaces of the walls of the building, including the garage, the exterior of the roof, and the common wall between the adjoining townhomes, all to the center of the common wall separating two townhomes. The land beneath each unit is part of the unit. The driveway, patio, and patio privacy fencing, if any, the air conditioning compressor, and its pad, if any, and the entry sidewalk, if any, serving a single townhome are also part of the unit."

It is the land beneath each unit phrase that distinguishes it with certainty here.

 

[TC]

Townhouse is a style, not a form of ownership. Has nothing to do with multiple stories. Get the legal description or check with the HOA.

 

[glenn walker]

I understand the difference between Townhouses and Condo's. Condos are easy to identify if they have multiple stories of units. But it gets challenging when there are not multiple stories. Realtors and even legal documents use the terms interchangeably.

I have a deed that says " The Grantor does grant, bargain, sell and convey unto the Grantee in fee simple, all that certain lot or parcel of land and described as follows:" " Being Cottage x of "HOA y", a Condominium, as described in the Declaration of Condominium of "HOA y". Fee simple implies land ownership but it is also being referred to as a Condo.

What document(s) do you like to refer to, to come to a conclusion that a property is a condo or townhouse?

The description of ownership in the deed and title. Remember a Town House is a Design and not a form of ownership. A Condominium is a form of ownership and not a particular design that is not owned in Fee Simple ownership.

You can also have Condos that are Town house designs-even be detached and look like single family homes.
The Realtor tend to list anything that looks like a condo as a condo. We have one large project of townhouse designed units where almost all are listed as condos by Realtors-When I search for comps I search both Condos and attached PUDs that have townhouse designs as the Real;tors dont know.

 

[TerryRohrer]

Townhouse is a style, not a form of ownership. Has nothing to do with multiple stories. Get the legal description or check with the HOA.

Not always.

 

[TerryRohrer]

If you guys are going to post, you should at least be accurate. I won't dispute that there may be places where townhouse is not a form of ownership. But it is a fact that there are places where townhouse is a form of ownership. To wit:

Montana Code Annotated 2021​

TITLE 70. PROPERTY​

CHAPTER 23. UNIT OWNERSHIP ACT -- CONDOMINIUMS​

Part 1. General Provisions​

Definitions​

70-23-102. Definitions. In this chapter, unless the context requires otherwise, the following definitions apply:
(18) "Townhome" or "townhouse" means property that is owned subject to an arrangement under which persons own their own units and hold separate title to the land beneath their units, but under which they may jointly own the common areas and facilities.

 

[Fernando]

Look at Legal Description and Plat Map from Prelim Report. They should clarify if subject is a condominium. No need to think so hard. That's what Title Companies are paid to find out.

 

[Mark K]

Fee simple implies land ownership but it is also being referred to as a Condo.

Fee simple ownership can also apply to a condo unit.

 

[J Grant]

I understand the difference between Townhouses and Condo's. Condos are easy to identify if they have multiple stories of units. But it gets challenging when there are not multiple stories. Realtors and even legal documents use the terms interchangeably.

I have a deed that says " The Grantor does grant, bargain, sell and convey unto the Grantee in fee simple, all that certain lot or parcel of land and described as follows:" " Being Cottage x of "HOA y", a Condominium, as described in the Declaration of Condominium of "HOA y". Fee simple implies land ownership but it is also being referred to as a Condo.

What document(s) do you like to refer to, to come to a conclusion that a property is a condo or townhouse?

Fee Simple Ownership Guide: 2 Types of Fee Simple Ownership - 2023 - MasterClass

Fee simple ownership allows homeowners to have full domain over their property, provided that they follow laws regarding zoning, taxation, and criminal conduct.

www.masterclass.com

Article above on why condos are commonly treated as fee simple ownership -

In your post the deed states "Condominium", which is proof it is a condominium. The home design/ physical structure of a condominium can vary - it can be multi story stacked building, it can be a single story attached villa, a 2 level townhouse or even a detached SFR style.

RE agents mis use verbiage which can screw up our property search on MLS. If a condo has a villa design, for example, a listing agent might list it as "villa" on the MLS. Note that a PUD with an HOA is not a condo - though some people use the word "townhouse" as a proxy for a property located in a PUD ( similar to how people say Kleenex for Tissue)

BTW a condominium can also be a deed for a parking space/garage, a boat slip or a storage unit , (or commercial space ) - ask folks about the headaches THAT causes in an assignment lol