Condo vs. Apartment: Which One Should You Choose?

In many areas, there is a lot of talk about condo living. Immediately people might wonder why it would be so great to live in a condo when they are happy with apartments along with the ease and amenities that come with them. But, what is the difference between condo vs. apartment living anyway? What are the pros and cons of each?

There are many differences. But it’s not a one-size-fits-all situation. As an Atlanta property management company, we see Georgia residents on both sides of the question all the time. So, let’s get into the differences so that we can unpack why some people choose one over the other. In this article we will discuss the following:

• What Is A Condo? What Is An Apartment? – Let’s first define the words before we get into the pros and cons.
• Key Differences Between a Condo and an Apartment – We will get into the key differences so that the discussion can address them.
• Benefits of Condo vs. Apartment Living – We will outline the major pros and cons of both types of living.
• Do You Need Property Management? – Finally, we will think about how the role of a property manager could be part of a solution for many.

What Is A Condo? What Is An Apartment?

An apartment is a housing unit that occupies only part of a building. This can be all on one level or as part of a cluster of apartment buildings, or other times it is a multi-level single building. Apartments are usually rented out by tenants and managed by a landlord or property management company. They come in various sizes and layouts, from studios to multi-bedroom units, and often include shared amenities like laundry facilities, gyms, and pools.

A condominium (condo), on the other hand, is similar to an apartment in terms of structure and layout, but it is individually owned rather than rented. Condo owners have ownership of their specific unit and share ownership of common areas and amenities with other condo owners in the building or complex. This means that while apartments are typically rental properties, condos are owned properties, often with a homeowners’ association (HOA) that manages the building’s maintenance and regulations.

Key Differences Between a Condo and an Apartment

While it is helpful to know exactly what defines the two types of living, we can also look at the key differences to better understand why some people might choose one over another. Condo vs. apartment living matters to a lot of people every day. So let’s dive into some of the overarching distinctions between the two.

Ownership

Many people cite that the main difference between condos and apartments is ownership. Condos are owned by individuals, or privately owned. Sometimes it is owner-occupied. Other times condos are purchased and rented out to others. Certainly, this can be seen as an investment, whether it is just one condo the person is renting out or it is a landlord who owns and rents out many condos. Apartments, on the other hand, have a different ownership model.

Apartments are rented by property management companies that often aim for uniformity across all housing units. Located in residential buildings and complexes or within entire communities, apartments provide tenants with standardized guidelines that they share with a lot of other tenants.

Unlike apartments that are leased via an agency or landlord on-site, renting condos involves a one-on-one process between the owner of the condo and the prospective tenant. While that is generally true, in many cases, a condo will have a professional property management company that will manage the community’s common areas and enforce the property’s rules and regulations. This can provide the added benefit of having a professional team onsite who can assist with maintenance and other concerns.

Maintenance

Living in an apartment, you won’t have to fret about household repairs. A leaking sink or broken appliance? The landlord is responsible for repairs. In most states, landlords are responsible for completing all repairs and maintenance to make sure that the place is habitable. As always, it is important to make sure the details are spelled out in a lease agreement.

Maintenance and repairs for a condo can be different. When you own a condo you are responsible for the interior upkeep of the unit. The outside maintenance such as the yard and amenities are generally handled by the HOA.

While these differences are a guideline, it is important to know that ultimately who is responsible for maintenance can vary. This topic is outlined and explained more in this article about the responsibilities of landlords and tenants for repair and maintenance needs.

Rent and Fees

The rent and fees for a condo vs. apartment do vary, but neither is necessarily more expensive than the other. There are differences listed here that may account for fluctuations in price, such as the amenities they come with, how much maintenance is covered by one versus the other, and so on.

Signing a new lease is always accompanied by fees that must be considered. Apartment rentals feature consistent costs, but condo fees can vary considerably depending on the landlord’s agreement with you. To ensure there are no unpleasant surprises, ask as many questions as necessary to accurately anticipate how much will need to be paid upfront.

The most common fees to expect when renting an apartment are the first and last month’s rent, security deposit equal to one month’s rent, pet fee/deposit, and an application fee.

Condo fees are up to the unit owner, so they can vary. You may be able to negotiate whether you put down the first and last month’s rent and a security payment if that’s more than you can provide.

The only unique fee you may end up paying relates to HOA fees. These can be due monthly or annually, and the condo owner may incorporate it into your rent or ask you to pay it while you’re occupying the unit.

Amenities

The amenities for a condo vs. apartment can often be somewhat similar. But they vary, and some inherent features of one lends to being more likely to have a certain type of amenity. For example, many apartment buildings are bigger than condo buildings. That can often mean that apartments can often have more impressive amenities such as pools, tennis courts, laundry services, etc. That’s just implicit in having more units and more people who benefit from shared amenities.

Specific condo amenities vary. Some offer a range of amenities that can be similar to an apartment complex, while other condo communities that are smaller might have fewer amenities. If amenities are important to you, you will want to factor that into your decision-making.

Benefits of Condo vs. Apartment Living

It is helpful to break down the benefits of condo vs. apartment living when you put them side to side. When making a decision it often can be the easiest way to determine what side you fall down on based on your priorities and interests. So here is a brief breakdown of the benefits of each.

Condo	Apartment
Ownership: Condos offer the benefit of ownership, allowing you to build equity over time.	Flexibility: Renting an apartment offers more flexibility to move without the commitment of ownership.
Customization: Owners can often customize their living space to their preferences.	Lower Upfront Costs: Apartments generally require lower upfront costs compared to buying a condo.
Community: Condos often foster a sense of community among owners.	Maintenance: Maintenance issues (larger ones) are generally handled by the landlord or property management.
Investment Potential: Condos can appreciate in value, offering potential investment returns.	No Property Taxes: Renters do not have to pay property taxes.

Do You Need Property Management?

Whether you choose a condo or apartment, finding one that meets your needs and expectations is important. Not all places are the same. Some may be too expensive, too far from work, or not meet your expectations in various other ways. But who knows, you may easily find one that checks all the boxes.

If you’re looking for an Atlanta property management solution, check out our current listings. Our property managers here at Bay Property Management Group can help you find your ideal rental home.

On the other hand, if you’re a rental owner and need help managing your properties, learn how BMG can help you today!