In a condominium setup, an individual owns a specific unit within a larger property.
Ownership usually stops at the interior walls of the unit. Residents share the common areas — the pool, the laundry room, the fitness center, the mailroom — and pay a fee (usually monthly) to maintain them and the development's exterior and landscaping.
Pros
- Condos are often more affordable alternatives for first-time homebuyers.
- Someone else does the yardwork.
- You get a built-in community with social events.
- The cost of amenities like a fitness center and pool is shared with your neighbors.
Cons
- That freedom you gain from not having to do yardwork comes with a trade-off. Condo boards or homeowner associations dictate how the property is used (When does the pool open for the season? Can you hang your beach towels on the deck railing? Can you rent out your unit?) and how the fees you pay are spent.
- Unexpected expenses and inflation can lead to higher fees or a special assessment.
- Deferred maintenance can lead to a hefty special assessment down the road.