Trying to choose between a townhome and a condo in Lake Mary? You are not alone. Low-maintenance living is appealing, but the details behind ownership, fees, insurance, and financing can feel confusing. This guide breaks it down in plain language so you can shortlist properties with confidence and avoid surprises at closing. Let’s dive in.
Lake Mary basics: condo vs townhome
Lake Mary offers a mix of gated communities, townhome developments, and condominium complexes near employment hubs and major roads. Many “townhomes” here are fee-simple attached homes within an HOA that manages common areas. Many “condos” are units in multi-building communities governed by a condominium declaration.
In Florida, condos are primarily governed by Chapter 718 of the Florida Statutes. Many townhome HOAs operate under Chapter 720. The label on a listing is not enough. What matters is the recorded legal structure and the association’s governing documents.
Ownership and legal structure
What you own
In a typical condo, you own the interior of the unit plus an undivided interest in the common elements. The association controls and insures the building exterior and shared areas. In a fee-simple townhome, you often own the structure’s exterior, roof, and the lot beneath it, while the HOA manages shared streets, landscaping, and amenities. Always verify the recorded title and the declaration to confirm exact boundaries.
Governance and assessments
Condo associations follow Chapter 718 rules on budgets, reserves, and reporting that differ from Chapter 720 for HOAs. These differences can affect reserve funding, special assessments, and owner voting rights. Review the community’s budgets and minutes to spot assessment trends and how decisions are made.
Legal red flags to check
- Ongoing association litigation that could trigger special assessments.
- Unit boundary language that shifts unusual obligations to owners.
- High owner delinquency in dues, which can strain cash flow and affect lender approvals.
Maintenance, fees, and reserves
What fees typically cover
In condos, the association usually maintains the roof, exterior, parking, elevators, pools, and common landscaping. You handle interior finishes, systems, and personal property. In townhome HOAs, you typically pay for your roof and exterior maintenance while the HOA handles common areas and amenities, but each community is different. Read the CCRs and budget to confirm who pays for which component.
Why fees vary so much
Monthly fees depend on a community’s age, amenities, insurance premiums, number of units, and reserve contributions. Lake Mary has both low-amenity HOAs and higher-amenity gated developments, so you should expect wide variability. Focus on operating trends, planned projects, and reserve contributions rather than rough averages.
Reserve studies matter
A current reserve study helps you understand whether the association is saving for big-ticket items like roofs and paving. Low reserves and deferred maintenance increase the risk of special assessments. Ask for the latest reserve study, recent meeting minutes, and any notices of capital projects.
Insurance realities in Florida
Master policy vs your policy
For condos, master insurance generally covers building exteriors and common elements. Owners typically carry a policy that covers the interior. Some master policies are all-in, while others are bare walls-in. For fee-simple townhomes, your policy often covers the structure, exterior, and roof unless your HOA insures these items. Confirm what the master policy covers before you budget.
Hurricane and windstorm deductibles
Florida property insurance often uses percentage deductibles for named storms. Associations may have high hurricane deductibles that are apportioned to owners if a claim is made. Ask for the master policy certificate and deductible percentages so you understand your exposure.
Flood risk in Lake Mary
Lake Mary borders multiple lakes and some areas fall within FEMA-designated flood zones. If a property is in a Special Flood Hazard Area, a lender may require flood insurance. Check FEMA Flood Insurance Rate Maps for the specific parcel and review Seminole County floodplain information during due diligence.
Market context for premiums
Florida’s insurance market has been volatile. Associations may face rising premiums or difficulty securing coverage, which can push HOA or condo fees higher. Review the association’s insurance renewal history to understand trends.
Financing and approvals
How lenders view each option
Fee-simple townhomes are often underwritten like single-family homes, which can mean smoother approvals for conventional, FHA, and VA loans. Condos typically face more scrutiny because lenders evaluate the project’s financial health, insurance, owner-occupancy levels, and any litigation.
FHA and VA condo approvals
FHA and VA have specific approval processes for condominium projects. If a condo community is not approved or cannot meet a lender’s review, you may face delays or need to switch financing. Buyers using FHA or VA loans should verify approval status early. If timing is tight, a fee-simple townhome can be an easier path.
Lender red flags tied to associations
- Delinquency rates on dues that are high.
- Large investor ownership and low owner-occupancy.
- Ongoing litigation with significant financial exposure.
- Low reserves for the age and condition of the property.
Resale and marketability in Lake Mary
Condo resale values can be sensitive to association risk factors like deferred maintenance, litigation, or low reserves. Appraisals may reflect these risks in older buildings. Rental rules, investor concentration, and owner-occupancy rates also affect demand and loan availability.
For townhomes, buyers often prioritize privacy, attached garages, or a small yard. These features can support resale demand, but owner responsibility for roofs and exteriors can influence insurance and maintenance costs. Always align your exit strategy with the community’s rules and financial health.
Lifestyle fit and location
Lake Mary’s access to I-4 and SR-417 makes commuting to Orlando, Sanford, and nearby business parks efficient. Proximity to Orlando Sanford International Airport is a common consideration, and Orlando International Airport is within regional reach. Many buyers also look at proximity to parks, shopping, and schools within Seminole County Public Schools in a neutral, fact-based way.
Condos favor buyers who want minimal exterior responsibilities and shared amenities, with the tradeoff of more rules and potentially higher per-unit fees. Townhomes offer a single-family feel with more space and privacy, though you may assume more exterior maintenance. Decide which daily routine and cost profile fits your life best.
Quick shortlist checklist
- Confirm the legal structure: condominium under Chapter 718 or fee-simple townhome with an HOA under Chapter 720.
- Verify if the master policy is all-in or bare walls-in, and whether it covers the roof and exterior.
- Ask if any parcels fall within FEMA flood zones and whether flood insurance is required.
- Review the current budget and reserve study, ideally for the past 3 to 5 years.
- Request the last 12 months of meeting minutes and the last two years of financials and insurance renewals.
- Ask about special assessments in the past 5 years and any planned capital projects.
- Confirm owner-occupancy percentage and rental policy, which affect FHA and VA financing.
- Check for ongoing litigation and current delinquency rates.
- Verify any age or use restrictions that may affect your plans.
Documents to request before you offer
- Declaration and bylaws, or CCRs for HOAs.
- Current budget, last audited or compiled financials, balance sheet, and income statement.
- Most recent reserve study and the capital project schedule.
- Board and annual meeting minutes for the last 12 to 24 months.
- Master insurance certificate, including deductible amounts and coverage scope.
- Estoppel letter confirming dues, assessments, and transfer fees.
- Notices of special assessments and any litigation documents.
- FHA or VA condo approval status if using those programs.
Smart questions for the association
- Are special assessments or major repairs planned in the next 12 to 36 months, and how will they be funded?
- What is the reserve funding level compared to recommended targets, and has it changed recently?
- What are the hurricane and windstorm deductibles on the master policy, and have recent claims affected premiums?
- What portion of units are investor-owned or rented, and are there rental caps?
- Has the association been in litigation in the last five years, and what is the potential financial impact?
- What are the current delinquency rates and collection policies?
Red flags to pause or renegotiate
- Large recent or pending special assessments.
- Low reserves with imminent needs like roofs or paving.
- High hurricane deductibles that could be apportioned to owners.
- Ongoing litigation with significant potential liability.
- Insurance carrier instability or repeated coverage changes.
- Condo projects ineligible for FHA or VA financing when you need those programs.
Ready to compare your options?
If you want low-maintenance living in Lake Mary, the right choice comes down to the legal structure, insurance realities, and lender fit that align with your budget and timeline. With a clear checklist, the correct documents, and early financing guidance, you can avoid surprises and secure a home that suits your lifestyle. If you are a VA or first-time buyer, a focused search strategy and early project screening will save you time and money.
Have questions or want tailored guidance on specific communities around Lake Mary and Seminole County? Let’s walk through your shortlist together, review the documents, and align your financing plan with the right properties. Connect with Omar Cotto to get a disciplined, step-by-step plan.
FAQs
What is the main legal difference between condos and townhomes in Lake Mary?
- Condos are typically governed by Chapter 718 with unit ownership plus common elements, while many townhomes are fee-simple homes within an HOA under Chapter 720.
Who pays for the roof in Lake Mary communities, condo vs townhome?
- In condos the association often covers the roof through the master policy, while in fee-simple townhomes the owner usually covers the roof unless the HOA documents state otherwise.
How do FHA and VA loans affect Lake Mary condo purchases?
- Many condos require project approval or specific reviews, so FHA and VA buyers should verify approval early or consider fee-simple townhomes that often finance more easily.
Why are Florida hurricane deductibles important for Lake Mary buyers?
- Associations may have percentage-based windstorm deductibles that can be charged to owners after a claim, so you should confirm deductible percentages before you buy.
Do Lake Mary properties near lakes require flood insurance?
- If a parcel is in a FEMA Special Flood Hazard Area and you have a mortgage, flood insurance is typically required by lenders, so you should check the FEMA maps for the address.
What association documents should I review before offering on a Lake Mary condo or townhome?
- Ask for the declaration or CCRs, current budget, audited financials, reserve study, recent minutes, insurance certificate, estoppel letter, and any notices of special assessments or litigation.
