If you’ve ever browsed real estate in Orange County and wondered, “Why does this townhome cost less than that condo?” or “What exactly am I buying when I buy a single-family home?” you’re not alone. The differences aren’t always obvious, and the way a property is legally defined can have a real impact on both price and long-term value. Here's what you need to know.

1. Types of Ownership in Orange County

• Single-Family Residence (SFR or Fee Simple): You own both the house and the land beneath it. SFRs carry the highest price tag because land drives value. Even in planned communities with HOAs, most detached homes are fee simple. 
• Condominium (Condo): You own the interior of the unit (“airspace”) and share ownership of the common areas like walkways, pools, and gyms. Condos can be stacked units or even detached homes, because “condo” describes ownership, not the style. 

Orange County note: Irvine and Aliso Viejo are where you'll find many of the detached condos in Orange County.

• Other Ownership Types: Less common in Orange County (less than 3%): co-ops, community apartments, land-lease homes (you own the structure but rent the land), and manufactured homes (space-lease or resident-owned).

2. Styles of Ownership marketed in Orange County

The types of ownership describe the legal differences and affect the price of a property. The way these types are marketed can also make a difference in price.

• House: This is generally understood to mean a single-family residence that is detached. There are some developments that have detached condos that look like houses, like our recent sales at 12 Seven Kings and 10 Cumberland in Aliso Viejo. Even the owners will sometimes call these houses, but they are rarely marketed as houses. 
• Home: Home is a feeling more than a way to describe ownership. Home is where the heart is after all. You can be at "home" in a 1-bedroom condo as much as a 5-bedroom house. Almost all detached properties will be marketed as "homes." Even most attached condos will be called "homes" by agents and buyers/sellers alike. An important subset of homes is a… 
• Townhome: Usually, in Orange County, this describes an attached home with 2 or more stories. It's a marketing designation more than a legal definition. When we are asked if a two-story attached property is a townhome or condo, our answer is often "yes!" It can legally be a condo, even though most people will call it a townhome when looking at it.

3. How Housing Prices Differ

This is the key question for buyers and sellers alike: How does what a property is called affect its price?

• Single-family detached residences (SFRs): Median price is about $1.4M. 
• Detached condos: Similar median price of about $1.4M, because these tend to be newer (median 15 years old) relative to many SFRs (median 50 years old). However, the same sized detached condo in the same area as a SFR usually sells for less.
• Attached Condos & townhomes: Median price is about $725K. We lovingly call these "affordable."

Pro tip: $ per square foot is often higher in condos, since the units are smaller. So, if you see higher prices per square foot in attached homes, that is usually why. Also, HOA dues can affect pricing as well. When comparing two homes, all else being equal, higher dues will mean a lower sales price.

4. What Buyers and Sellers Should Know

• Buyers: Attached condos and townhomes can be the best bang for your buck even with a higher price per square foot. Also, if you are OK with a smaller lot, a detached condo can give you the feeling of an SFR at a lower cost. 
• Sellers: The legal designation and how your home is marketed can affect your buyer pool.
• Everyone: HOA fees and amenities can sometimes matter as much as the purchase price.

Bottom Line

In Orange County, the type of ownership matters just as much as the number of bedrooms or the school district. Whether you’re buying or selling, understanding the differences between condos, townhomes, and single family homes can help you make smarter decisions and avoid surprises.

If you or anyone you know is thinking about moving in the next year, reach out to us today. We’d love to help!