villas/townhouses/units - pros/cons

[mitchp]

Hi,
Wanted to pick people's brains:
Wondering about the comparative capital growth potentials of villas/townhouses/units. I'm looking at a beach suburb within Perth for IP. From people's experiences, is cap growth stronger for villas, units, or townhouses? Also what is the difference between villas and townhouses - I'm not sure...
I would think CP would be better with townhouses and villas as opposed to units because of land component?
Are there are specific issues with villas/townhouses ie do body corporate fees apply?
Cheers

 

[stumunro]

Hard to peg which has better growth, i'd suggest townhouses over units, but individual circumstances apply. Body corporate fees are relevant for each of the different types of investments, units in high rise tend to be more expensive.

 

[Chris.R_WA]

Hi Mitch,

Generally agree with Stu above. It depends on so many factors, ie: All things being equal, you could reasonably expect a townhouse or villa to outperform a unit.

But then...all things probably wouldn't be equal. Eg price, location etc...

A choice you may have is a high rise unit in a desired Beachfront location (think Scarborough) versus a townhouse with more land component in a central location (think Vic Park/Innaloo etc).

Regarding definitions of the above structures, some RE agents use the terms interchangeably!! Which is not helpful, but in WA a villa is generally single storey, whereas a townhouse is double storey. Each may be detached or otherwise.

Regards, Chris

 

[Tin Tin]

ive never bought a town house but have a unit and regret buying it even though has more than doubled in nine years

not sure what villas are like in WA but in QLD they are sizeable, not far off a house but usually in estates which i dont like.

more chance for townhouse to be in better loc I feel.

 

[INVSTOR]

Any hints as to where townhouse is?

 

[mitchp]

Why do you regret buying a unit TT?

 

[mitchp]

Any hints as to where townhouse is?

Scarbourough-ish