Last Updated on March 9, 2021 by Filip Poutintsev
Why Buying an Apartment is a Wise Choice in Today's Market
Are you considering buying a property but have a limited budget? Purchasing an apartment might be the perfect option for you. In this article, we will explore the advantages and disadvantages of buying an apartment, so you can make an informed decision.
The Rise of Apartment Living
The concept of apartments dates back to ancient Rome, where they had multi-story buildings called 'insula'. Over time, apartments evolved and became increasingly popular. In the 18th century, modern apartments with mansard roofs and garret rooms emerged in France and European countries. In the 19th century, the population boom in New York led to the rise of tenements. After World War II, apartments became even more prevalent, offering convenience and modern amenities.
Pros of Buying an Apartment
1. Affordability
Buying a house can be financially challenging. Apartments, on the other hand, offer a more affordable option. The price of an apartment is generally lower than that of a freestanding house. In Australia, for example, the median house price is around $636,315, while apartments cost approximately $476,023 according to the Domain Group.
2. Low Maintenance
One of the significant advantages of living in an apartment is the reduced maintenance. Strata corporate fees typically cover exterior maintenance, plumbing, and wiring. Forget about mowing lawns or gardening – the only task you'll need to worry about is vacuuming your room once or twice a week.
3. Access to Amenities
Apartments often come with a range of amenities that are not typically found in standalone homes. Facilities such as swimming pools, gyms, communal halls, underground parking, basketball courts, and tennis courts are commonly available in apartment complexes. Enjoy a convenient and active lifestyle without leaving your building.
4. Ideal for Solo Living
Apartments are perfect for individuals who prefer to live alone. The compact size of apartments reduces expenses as you won't need to invest in excessive furniture or decorations. This allows you to save money without sacrificing comfort.
5. Central Locations
Most apartments are strategically located in the heart of major cities, offering convenient access to various attractions and amenities. Enjoy the advantages of living in a prime location that would otherwise be unaffordable if you were buying a house.
6. Enhanced Security
Apartment complexes typically have robust security measures in place. Security doors and guards ensure the safety of residents in both the main entrance and parking areas. Compared to a standalone house, apartments offer a higher level of security.
Cons of Buying an Apartment
1. Limited Privacy
Living in an apartment means sharing the building, garden area, and amenities with strangers. This lack of privacy can be a downside for those who value solitude. You may prefer using external gyms or other facilities outside the complex to maintain a greater sense of personal space.
2. Restricted Space
The affordability of apartments often comes at the expense of space. While suitable for individuals and couples, apartments may not be ideal for large families or pet owners who require a spacious backyard or lawn.
3. Strata Fees
Although apartment living frees you from tasks like gardening and exterior maintenance, you will need to pay regular strata fees. These fees cover the employment of workers responsible for maintaining swimming pools, communal halls, elevators, and gardens.
4. Limited Parking
While many apartments provide parking spaces, there may not be enough spots for every resident. In some cases, parking spaces are assigned on a first-come, first-served basis, often at a premium cost.
5. Decorative Restrictions
If you plan on personalizing your apartment, you may encounter restrictions imposed by the landlord or body corporate. Any modifications, such as repainting or changing fixtures, usually require approval, limiting your freedom to decorate.
Conclusion
Deciding whether to buy an apartment requires careful consideration of your preferences and circumstances. Take into account your budget, desired size, type, and location before making a decision. Research the market, explore home loan options, and strive to find the best deal for your new apartment.
References
- canstar.co.nz
- mozo.com.au
- apartmentsearch.com
- loans.com.au