When looking for a place to live in, you may be overwhelmed by the number of options available on the market in regards to the types of homes that are up for sale or rent. An apartment may sound cheaper, but their cost-effectiveness balances out the lack of land ownership. On the other hand, houses have land ownership, but are on the upper side in terms of pricing.
Let us guide you through the differences in apartment units versus landed houses, and perhaps our guide can help you clarify your decision better. Always remember that one is not always better than the other, but you will need to assess your own preferences and living situation when considering apartment or house hunting!
Apartment or Condominium Unit
An apartment or condominium unit is situated within a building filled with housing of similar sizes and styles. Apartment housing was established to provide the market with affordable housing, security, and a communal living environment among neighbors. Nowadays, more and more apartments are being built to cater to the growing population moving into bustling cities.
Apartments are popular forms of housing now, and for the right reasons. Apartments are typically rented out so many younger homeowners prefer to stay in rented apartments they can move from in accordance with their jobs. Individuals without dependents, and newlywed spouses prefer to stay in apartment units in the meantime while they grow their families.
Most millennials and working individuals would also rent apartments while they’re in the process of leveling up their careers, as these units are more cost-effective for their lifestyles. There are various types of apartment units, ranging from one to more than five bedrooms, which is great for friends and roommates sharing the costs of daily expenses.
Depending on the location, some apartment units may sell for as high as landed properties do. Apartment units also share walls with neighbors, which is difficult for those living with noisy or rude neighbors. You will tend to share amenities with other tenants, such as parking, elevators, stairs, reception, and recreational areas.
The biggest downside to owning or renting an apartment is the lack of land ownership. Even if you own the apartment you live in, you don’t own even an inch of the land the building is put up on, which decreases the land appreciation of the property. Additionally, apartments can only typically house individuals or small families, and are not ideal for large households.
A standalone house, also called a landed property, is typically owned by the same owner of the land the house is built on. These properties provide excellent privacy, ownership, and serve as investments as the land continues to appreciate. Rented houses also exist, but more often than not, homeowners tend to purchase landed properties rather than rent them.
The biggest pro in purchasing a landed property is owning the land itself. Land owners may opt to build their own homes right on the land, or rent the land out for other residential or commercial uses. Landed properties are also customizable, and a good contractor would be able to build you the house of your dreams.
There are many different types of homes which range in their pricing. There are single detached homes which are homes that have their own walls and surrounding space. There are also duplexes, where two homes share one conjoining wall. Landed properties tend to have their own parking, garden, and other amenities, and they do not share communal areas with others.
Landed properties are incredibly expensive as time goes on, especially as land is almost always appreciating. The cost of purchasing or renting the land alone can set you back thousands of dollars, not to mention the costs of building your home from scratch.
Landed properties are also difficult to maintain, and are not ideal for individuals who have no time to clean or upkeep their home. Small families to large families may do well in the large space of a landed property home, but single individuals may find the space too big for their everyday living.
How do you know if an apartment or a house is better suited for you? For one, consider the size of your family. Are you living alone, or do you have a full family of five or more people? Consider the area where you live as well, as Singapore landed properties are more scarce than similar ones in the US, so they may have a higher price point.