Is it a Condo, Townhouse or PUD?
First PUD stands for Planned Unit Development. You own the small lot underneath. A PUD and the Townhouse are often used interchangeably. Townhouse means the unit is two stories. The word townhouse is a building style. Usually the bedrooms and one or two full baths are upstairs with the living area below. Some PUD’s can be single story though.
In a condo, you do not own the lot below. You own the “airspace” within the unit. Many times condos will be stacked – two or more stories, with condos above and/or below you. The term condo is a catchall term that is often used to include both PUD’s and Townhouses.
Key Take away: Condos Usually more than one story, stacked above each other
PUD – own the lot, can be townhouse or single story
Townhouse – building style – 2 story, no one above you, usually a PUD
All three have an HOA – Home Owners Association. The HOA collects dues from each owner. The money is used to take care of the common areas – pool, driveways, sidewalks, gardening, etc. Many times the dues also cover roofs, exterior painting and outside repairs.
Why do you care if it’s actually a condo or a PUD? Because the PUD owns the small lot. It is easier to obtain financing. This can be a big advantage for many buyers and for seller’s upon resale.
So how can you tell? If all the units are townhouse style (no one above you) or all units are single story then there is a good chance it’s a PUD. But that is not a fool proof way to tell. Many times you have to read the condo documents or check with a Title Company to find out for sure!
Condos are more complicated than buying a house. I am always happy to answer questions and help you every step of the way with your search and purchase of a condo! Call Eileen at (831)277-9939 or send me an email or text message. (PS we sell houses too!)