Trying to decide between a condo or a townhome in Lake Oswego? You are not alone. If you want walkability near the Village or low-maintenance living close to the lake, the right choice comes down to how you prefer to own, maintain, and finance your home. This guide breaks down ownership, HOA responsibilities, costs, financing, neighborhoods, and due diligence so you can choose with confidence. Let’s dive in.
Condo vs townhome at a glance
Condos and townhomes can look similar from the curb, but the way you own and maintain them is different.
- Condos: You own the interior of your unit and share ownership of the building and common areas with other owners.
- Townhomes: You usually own the home and the land under it in fee simple, with shared walls. Some communities are hybrids with an HOA that maintains limited common spaces.
The right fit often comes down to how much exterior work you want to handle, how the HOA is managed, and what loan type you plan to use.
Ownership differences
What you actually own
- Condos: Ownership is defined by a condominium declaration and plat. You own your unit plus a share of common elements like hallways, structure, and land.
- Townhomes: Ownership is typically more like a single-family home with shared walls. You own the structure and lot, subject to CC&Rs if an HOA exists.
HOA and maintenance roles
- Condos: HOAs often handle the exterior envelope, roofs, common systems, and amenities. You focus on interior finishes and fixtures. Fees reflect the bundled services.
- Townhomes: Owners are more often responsible for exterior items like roof, siding, and small yards. HOAs tend to manage shared roads, landscaping at entries, and amenities. Fees can be lower, but it depends on the development.
Always confirm responsibilities in the governing documents. Some newer or luxury townhome communities provide condo-like coverage for exteriors.
Costs and fees to expect
HOA dues and what they cover
- Condos in Lake Oswego and the Portland metro often have higher dues, especially near the lake or Village where common-area upkeep and amenities are robust. As a broad guide, many condo HOAs in the metro range from roughly $200 to $800 per month, with premium communities higher.
- Townhome HOAs often range from roughly $100 to $400 per month because they manage fewer building systems. Communities with more services can exceed that.
What matters most is the scope of coverage, reserve strength, and any upcoming projects. Low reserves can lead to special assessments for big-ticket repairs.
Insurance differences
- Condos: You will likely carry an HO-6 policy that covers interior finishes, personal property, and loss assessment. The HOA’s master policy covers the building exterior and common areas, based on its policy type.
- Townhomes: You commonly need an HO-3 or HO-5 policy that covers the structure and exterior if the HOA does not. If there is a master policy, confirm what is included and any owner deductibles.
If you are considering a waterfront building or lake-adjacent site, review flood exposure and the need for separate flood insurance. Seismic risk and retrofit needs can also influence future costs.
Taxes and operating costs
Lake Oswego spans Clackamas, Multnomah, and Washington counties. Property tax rates and assessed values vary by parcel location. Beyond HOA dues, budget for utilities not covered by the HOA, insurance, routine maintenance, and a contingency for possible special assessments.
Financing and approvals
Condo project eligibility
Many lenders require condo project approval and apply rules on items like owner-occupancy ratios, reserve funding, and commercial space. Condos in non-approved projects can still be financed, but options may be more limited or require larger down payments. If you want FHA or VA financing, check project approval early.
Townhome loan basics
If a townhome is fee simple and not part of a condominium regime, it often qualifies for standard single-family mortgage products. That can make financing simpler for many first-time buyers.
First-time buyer programs
Some first-time buyer and down payment assistance programs have specific rules for condos. Before you fall in love with a unit, verify program eligibility based on the property type.
Neighborhood fit in Lake Oswego
Lakefront and Village
If you want walkability and lock-and-leave living, condos and luxury townhomes near the lake and downtown Village stand out. Expect higher price per square foot in exchange for location and amenities.
Lake Grove and Westlake
You will find a mix of older condos, townhome communities, and small-lot homes. This area offers access to Boones Ferry Road retail and transit. Fees and maintenance scopes vary by community.
South and peripheral areas
Newer townhome developments here can offer more square footage, attached garages, and modern systems. These can be appealing if you want space without a large yard.
Commute corridors
Townhomes near I-5 and OR-43 provide convenient access to Portland. Be sure to balance commute ease with noise or traffic considerations.
Match by buyer priority
Downsizers
- Prioritize low maintenance and strong HOA coverage.
- Look for single-level living or elevator access, plus secure parking.
- Focus on proximity to services and easy resale to similar buyers.
First-time buyers
- Prioritize total monthly cost, not just the purchase price.
- Consider townhomes with fee-simple ownership for easier financing and potentially lower HOA dues.
- If targeting condos, verify project approval for your loan type.
Due diligence checklist
Use this quick checklist to reduce surprises and protect your budget:
- Request the full HOA or condo document package: declaration, CC&Rs, bylaws, budget, reserve study, insurance summary, recent meeting minutes, litigation disclosures, and rules.
- Get a written statement of current dues, what is included, and any planned increases or assessments.
- Confirm whether the condo project is eligible for FHA, VA, or conventional project approval if you plan to use those loans.
- Review the reserve study and funding policy. Look for percent funded and upcoming capital projects like roofs, siding, and paving.
- Verify the master insurance policy type and owner deductibles. Align your personal policy accordingly.
- Check county assessor data for the exact parcel to estimate taxes and any special district levies.
- Inspect the building envelope, roof age, siding, parking areas, drainage, and any waterfront considerations like flood zones or shoreline obligations.
Pros and cons summary
- Condos: Lower exterior maintenance and often better amenities, but typically higher dues and project-level financing rules. Ideal if you value convenience near the lake or Village.
- Townhomes: More control over your exterior and often simpler financing, with potentially lower dues. Ideal if you want more space or a garage and can handle some maintenance.
There is no one-size-fits-all choice. Focus on how each option affects your monthly costs, long-term upkeep, and daily lifestyle.
Next steps
If you are comparing specific communities in Lake Oswego, bring the HOA package and your financing plan together early. You will make a stronger offer and avoid last-minute surprises by confirming budgets, reserves, insurance details, and loan eligibility up front.
When you are ready, reach out for local guidance, bilingual support, and a clear plan from search to closing. Connect with Julie Mikutin Real Estate to make your next move simple and confident.
FAQs
What is the main ownership difference in Lake Oswego?
- Condos give you unit ownership with shared common areas, while townhomes are usually fee simple where you own the structure and lot with shared walls.
Are condo HOA fees higher than townhome fees in Lake Oswego?
- Often yes, because condo HOAs cover more building systems and amenities. Some townhome communities with extensive services can have comparable dues.
How do financing rules differ for condos vs townhomes?
- Many condos must meet lender project approval rules, which can limit loan choices. Fee-simple townhomes often qualify as single-family homes and can be easier to finance.
What should downsizers prioritize in Lake Oswego?
- Look for strong HOA coverage, single-level or elevator access, secure parking, and proximity to services around the Village or Lake Grove.
What are the biggest risks when buying attached homes near the lake?
- Underfunded reserves that lead to special assessments, restrictive HOA rules, tougher condo loan approvals, and flood or seismic exposure in waterfront buildings.
