Most people think that condos and apartments have no differences. But the truth is, an apartment and a condo are not the same, and it’s very important to know about this if you are planning to invest in real estate.
There are several differences between an apartment and a condo. The one main difference is based on ownership. Condos are usually purchased on a loan and owned, whereas apartments are typically rented.
In Thailand, apartments and condos are increasinglybecoming very popular. The reason for their popularity is based on less space and provision of accommodation for a large number. However, both forms of accommodations offer their own pros and cons.
A condo or condominium refers to a form of legal ownership. Buyers purchase private dwellings in condominium buildings called “units”, and each unit is registered in the buyer’s name.
The condo building is divided into individual condos and a common area. A condo owner shares ownership of the common elements and assets of the building and community and is responsible to pay its own real estate taxes and its share of the common charges for the expenses to maintain and operate the common areas such as swimming pool, gym, sauna, hallway, etc. Also, the condo owners can elect a residential society who oversees the maintenance of the building to keep it in proper shape in order to retain and increase its value.
The advantage of living in a condo is that the condo owners can have full ownership and can make changes to the interiors or the exteriors of their units under the rules of the condominium which is not really possible in case of an apartment.
An apartment is typically owned by one entity whether that is a partnership or a corporation rather than an individual, with the dwelling units only available to rent.
“Apartment” is a term that is usually applied to a unit in a building that is rented. Also, a purchased apartment can legally be called a “Condo”, whereas any apartment for sale does not fit the traditional idea of condo ownership.
An apartment or a flat is a unit within a multi-storied building which can be owned or could be rented out for a fixed monthly rent.There are many types of apartments available as options for those looking for living accommodations. “Studio” or “Bachelors” are the smallest available options. These comprise of one room with space for a kitchen and modest living space, this space is best suited to individuals living on their own. There are also“One Bedroom”, “Two Bedroom” and “Three Bedroom”types, which are bigger and more popular amongst couples or small families. However, the renters have to abide with the owner’s rules and do not get full control over the property.
Comparison between Condo and Apartment:
A condo or condominium a building that can beseparated into units for individual ownership and which include personal and common properties.
An apartment or a flat is a self-contained housing unit that occupies only part of a building, generally on a single level; it is usually taken on rent.
Large size and provide many facilities.
Smaller than condo and offer less service.
The developer who sells individual units called condos.
The owner who rents out apartments to individuals or people.
“Condo” is what one calls their ‘apartment’ which they own.
“Apartment” is the same thing when it is rented.
It is the legalized property of the owner.
It is not the legalized property of the owner.
Individual unit title deed
A single title deed as a whole
One time expense (can be brought on loan).
It is owned by the purchaser for living or renting out
It is owned by the building developer and rented out to tenants.
If a person is permanently looking to stay at one place for a long period of time, condos are the best option.
If a person is always moving, rented apartments are the best options.