Questions to Ask When Buying a Townhouse

Buying a townhouse offers a blend of single-family home independence and community living. This unique property type has considerations that differ from purchasing a detached house or a traditional condominium. Asking specific questions helps ensure the property aligns with your expectations and financial capabilities.

Questions About the Townhouse Structure

Inquire about the building’s age and the condition of major systems, including heating, ventilation, air conditioning (HVAC), plumbing, and electrical. HVAC systems typically last 15 to 20 years, plumbing around 50 years, and electrical wiring between 20 and 70 years. Knowing their age helps anticipate future replacement costs.

Ask about any significant past repairs or renovations, especially concerning the roof, foundation, or shared walls. An asphalt shingle roof, for example, can last 15 to 30 years. Understand who is responsible for maintaining shared structural components like party walls, exterior siding, or common roof sections. This responsibility often falls under the homeowners association (HOA), so specifics should be clearly defined.

Determine if there have been any past issues with water intrusion, mold, or pests, as these can indicate deeper structural problems. Assess the insulation and energy efficiency of the unit, as this impacts utility costs. A comprehensive inspection can provide detailed insights into these areas.

Questions About the Homeowners Association

The Homeowners Association (HOA) plays a central role in townhouse living. Understand the HOA fees: their current amount, what services they cover (common area maintenance, landscaping, exterior repairs, master insurance policies), and the frequency of past increases. Average HOA fees typically range from $200 to $400 per month, varying by amenities and location.

Investigate the HOA’s financial health by reviewing their budget, financial statements, and reserve funds. Healthy associations usually maintain reserves at roughly 70% of the amount recommended in reserve studies. A low reserve fund can indicate improper budgeting or excessive expenses, potentially leading to future special assessments. Inquire about any pending litigation against the association, as this could signal financial or structural issues.

Request copies of the HOA’s governing documents, including bylaws, Covenants, Conditions, and Restrictions (CC&Rs), and recent meeting minutes. These documents detail rules on pet policies, rental restrictions, exterior modifications, and noise ordinances. They also outline the HOA’s management structure, whether self-managed or using a professional management company. Examine the history of special assessments, noting how often they occur, for what purposes they were levied, and the process for determining them.

Questions About the Surrounding Area

The immediate surroundings of a townhouse influence daily life and property value. Explore the neighborhood’s character, considering its upkeep, cleanliness, and community atmosphere. Investigate the proximity and quality of local amenities, such as schools, parks, shopping centers, restaurants, and public transportation options.

Assess the typical traffic and noise levels in the area, particularly during different times of day and night. Understand local safety and crime statistics. Research any known future development plans in the vicinity, such as new construction projects, road expansions, or commercial zoning changes, as these can impact the neighborhood’s future character and property values.

Inquire about typical property values and trends in the area, including whether they are appreciating, stable, or declining. Local real estate agents or property valuation resources can provide insights into market dynamics and help gauge the long-term investment potential.

Questions About Financial and Legal Considerations

Research current property taxes, which are locally assessed and vary widely. Inquire about any potential future tax assessments or revaluations that could increase your annual tax burden.

Clarify insurance coverage: what the HOA’s master policy covers versus what your individual homeowner’s policy (HO-6 or HO-3) needs to cover. An HOA’s master policy often covers common areas and the building’s exterior, while an HO-6 policy typically covers the interior of your unit, personal belongings, and liability. Understand these distinctions for comprehensive coverage and to avoid unexpected costs.

Identify any current or planned special assessments that would impact your budget. Sellers are generally required to disclose any proposed or confirmed special assessments. These are additional, often significant, fees levied by the HOA for major repairs or projects not covered by regular dues.

Investigate the property’s title for liens, encumbrances, or easements that could affect ownership or use. Gather information on typical closing costs associated with townhouse purchases, which generally range from 2% to 5% of the home’s purchase price. These costs include lender fees, title insurance, appraisal fees, and attorney fees, among others.