Back to Results

Tools

Partner Tools


Is it important to own the land on which the town home is built?

Profile picture for kulki
close Profile picture for kulki

kulki

Contributions: 9

View full profile

We have two options to buy a townhome style condo where we dont own the land on which its build or go for a townhome where we own the land on whihc its built.
Which is better? Both are in decent locality and have same square foot area.
  Flag content
Close
Report a Problem

If you find this content is in violation of our Good Neighbor Policy, please let us know and we will review it.

Close
Content Flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.

0 Yes

May 18 - Santa Clara
RSS

Answers (6)

Profile picture for judywang
close Profile picture for judywang

Judy Wang, "judywang"

Real Estate Agent

View my 5 listings
Contributions: 92
Zillow All-Star

Since July 2009

View full profile

I don't think owning the land gives you much more value unless you can do something with it. But something else to consider is the financing aspect. Lenders currently have higher interest rate for condo if you put less than 25% down payment. They don't consider townhouse-style condo different from apartment-style condo. Lenders are putting all condos in more risky category. And who knows what other requirements they will have in the future.
  Flag content
Close
Report a Problem

If you find this content is in violation of our Good Neighbor Policy, please let us know and we will review it.

Close
Content Flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.

0 Yes

August 04
Profile picture for gmorioka
close Profile picture for gmorioka

Grace Morioka, "gmorioka"

Real Estate Agent
Contributions: 17

View full profile

Hello Kulki:

There are enormous differences between the condominium and the planned development. First, it is not simply the land that you own, when you on a townhouse styled home in a planned development--but you also own the building as well.  In this type of construction, you have no overlapping airspaces (meaning that no part of your home crosses or overlaps the adjoining property).  It also means, however, that you own the home from the land to the top of the roof.  While the homeowners association may have maintenance easements across your property to maintain the roof and painting the building exteriors, YOU as the homeowner have the ultimate responsibility for all damages to the roof and the stucco or wood siding walls.  If there is termite damage to the exterior of the home, you (and the others in your building) will have to jointly pay for tenting--the homeowners association will not perform this job because it the building is not "common area."

On the other hand, in a condominium, the homeowners association (rather than you) own the land and the building.  As a result, the owner maintains only the interior space within the home and the items inside te interior space.  The homeowners association owns the areas behind the walls, the attic, the exteriors, the pipes in the walls, and the land outside the home.  Condominiums are typically slightly more competitvely priced than are similar homes in a planned development because the homeowner does not own the building or the land. 

Depending on whether you wish to own the building or not, you may choose a condominium or a planned development.  I will opine, however, that most buyers would prefer to the own the building and the land because of the greater level of control that the homeowner may exert across his property.

Good luck!  If you should need any other help, please contact me.
  Flag content
Close
Report a Problem

If you find this content is in violation of our Good Neighbor Policy, please let us know and we will review it.

Close
Content Flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.

0 Yes

May 28
Profile picture for kulki
close Profile picture for kulki

kulki

Contributions: 9

View full profile

could you please explain whats mean by zone?
  Flag content
Close
Report a Problem

If you find this content is in violation of our Good Neighbor Policy, please let us know and we will review it.

Close
Content Flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.

0 Yes

May 20
Profile picture for kulki
close Profile picture for kulki

kulki

Contributions: 9

View full profile

Thanks for your answer. The condo place is giving a lot of free upgrades. There we will own a percentage of the land. But not directly the land under the townhome. In the other place we will directly own the land under the townhome. I dont really know the land prices. How can I figure that out? One place is  in milpitas,ca and other is in santa clara, ca.
  Flag content
Close
Report a Problem

If you find this content is in violation of our Good Neighbor Policy, please let us know and we will review it.

Close
Content Flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.

0 Yes

May 20
Profile picture for L Strasberg
close Profile picture for L Strasberg

Linda Strasberg, "L Strasberg"

Real Estate Agent

View my 1 listings
Contributions: 1001
Zillow All-Star

Since April 2009

View full profile

It's important if it's important to you.  Which unit do you prefer?  What are the amenities offered in one versus the other?  How much land are we talking about? 

What's land going for where you are considering buying?  Is there another best use of land better than what it's zoned now?  Could it ever get rezoned?   And if it does what would they have to do to get the land rezoned if you own the condo?
  Flag content
Close
Report a Problem

If you find this content is in violation of our Good Neighbor Policy, please let us know and we will review it.

Close
Content Flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.

1 Yes

May 19
Profile picture for MichaelSDunn
close Profile picture for MichaelSDunn

Michael Dunn, "MichaelSDunn"

Real Estate Agent

View my 2 listings
Contributions: 33

View full profile

This is a matter of personal preference. Here are some things to think about:
If you don not own the land, who does?Most likely the land will be owned by an HOA (Home Owners Association) and your rights as an owner would be similar to those of a condominium owner. The HOA will have quite a bit of authority in what you can and cannot do with the land surrounding your TH. You may not be able to have a garden for example, or walk your dog, etc. Other people may also be able to use the land if they wish. The only thing that you technicaly own is the from the walls in.
If you do own the land, an HOA may still have some say in how you use it, but it is yours to enjoy exclusively. Your neighbors can't let their dogs pee in your yard. Generaly, you can make the decision as to what to do with it for landscaping, although I'm sure the HOA will have some guidlines.
Additionally for myself, I like the security of knowing that I own the land that i live on. It gives me piece of mind that there will never be some other owner that can come and say, "Well it's been fun, but I'm going to use my land for something else now."
As unlikely as that scenario may sound, why risk it?
-Mike
  Flag content
Close
Report a Problem

If you find this content is in violation of our Good Neighbor Policy, please let us know and we will review it.

Close
Content Flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.

1 Yes

May 19
 

Have a question? Ask it here.

What's this?
Close

By starting a discussion, you can expect more of an interactive, back-and-forth experience where the conversation can go in many different directions.

Or start a discussion

 
Active Santa Clara Real Estate Agents
Subscribe via RSS
  1. Profile picture for lynbrookhomes1 Michelle Carr-Crowe
    3 listings
    Local Expert
  2. Profile picture for annthai Ann Thai
    51 listings
    Local Expert
  3. Profile picture for rejake Jake Gipson
    11 listings
    Local Expert
  4. Profile picture for Boyenga Team Boyenga Team
    29 listings
    633 contributions
  5. Profile picture for judywang Judy Wang
    5 listings
    92 contributions

See more Santa Clara real estate agents

Related Questions
Profile picture for Judy Wang
Question Is it important to own the land on which the town home is built?
  • Latest answer by Judy Wang
  • August 04
Profile picture for kulki
Question Is area near River mark in santa clara better or area in milpitas near the town center is better?
  • Latest answer by kulki
  • May 20
Related Articles about Buying Process
Guide Real Estate Buyer's Closing Costs
Guide List of Closing Costs and Fees
Guide You've Opened Escrow
Guide Home Buying One Step at a Time
Guide A Buyer's Guide to Making the Right Choice
Current Last Week
Need a Mortgage?

Zillow Mortgage Marketplace

  • Competitive rates
  • Accurate, custom quotes
  • Thousands of lenders

... and, it's free and anonymous

Get instant mortgage quotes
Estimated purchase price Current mortgage balance Desired loan amount
98104

Learn about Zillow Mortgage Marketplace

Zillow Poll:
Suggested by 25Pillows
What would you change about your home?s exterior?
Next poll
Suggest a poll
Be A Good Neighbor

Zillow® Advice depends on each member to keep it a safe, fun, and positive place. If you see abuse, flag it. More on our Good Neighbor Policy

© 2006-2008 Zillow.com, All Rights Reserved

pageName