The traditional American dream home might be a detached single-family house with a yard (white picket fence optional), but many people prefer to live under a shared roof. Housing options like condos and townhouses allow you to cohabit with others without counting them as roommates: Each unit is an individual private residence within a single or a semi-detached building. They also allow you to become a homeowner for less money.

However, each of these home options has a distinct style, from apartment-style condos to spacious rowhouse-style homes with their own yards. Each option also has distinct benefits and downsides. Let’s dive more deeply into the condo vs. townhouse debate, and the differences between the two.

Condo vs. townhouse: Definitions

Condos, short for condominiums, tend to be one-story units within a single, large building, often a high-rise. There are common spaces, like lobbies, parking areas and outdoor spaces, and typically some communal amenities as well — depending on the level of luxury, these can include things like a pool, clubhouse, library, gym or even jogging trails and children’s playrooms. When you buy a condo, you own the interior of your unit only — maintenance for exteriors falls to the condo board or HOA.

Townhouses, on the other hand, are usually multi-level structures built side-by-side, sharing at least one wall with neighbors. These homes tend to have more interior square footage than condos and often come with small front- and/or backyards too (which means you’re responsible for the maintenance of your own yard). There may even be an attached private garage. If you’re looking to buy a home on a budget, a townhouse can provide a kind of hybrid experience: living in an individual house while also having the perks of community membership, like shared amenities.