In India, people often use the terms apartments and flats interchangeably when referring to a house. These are similar residential properties. The flat is commonly used in UK English, while the apartment is often used in American English. However, apartments and flats have certain basic differences. If you are planning to purchase a house, it is essential to understand the key differences between an apartment and a flat.
What is the difference between apartments and flats?
| Parameter | Flats | Apartments |
| Definition | Flats refer to a cluster of rooms in a building containing other residences in a gated community known as a housing society. | An apartment is a cluster of rooms forming one residential unit. |
| Price | Flats can be slightly more expensive than apartments | Apartments can be expensive and affordable |
| Language | Terms used in British English | Terms used in American English |
| Storey | Comprises one storey | Can include multiple storeys |
| Features | Equipped with basic facilities and amenities | Besides the basic facilities and amenities, it can have luxury features |
| Category | Medium to high-end residential unit catering to the middle class | High-end residential unit catering to luxury homebuyers |
| Maintenance | The maintenance of a flat is usually the responsibility of the owner or the tenant. | The resident must pay the maintenance charges to the association managing the apartments in the compound. |
| Security | The owner has to invest in the security of the individual flats. | The security of apartments is managed by the builder and the management. |
Apartments vs flats: What should you buy?
Here are various factors you should consider before deciding to buy a flat or an apartment.
- Budget: Since there is a significant difference in the prices of a flat and an apartment, it is necessary to evaluate your budget by setting a minimum and maximum limit. This will enable you to make a better decision while buying or renting.
- Hidden charges: Take into account the hidden expenses for purchasing the property. These may include stamp duty and registration charges, GST, home loan processing charges, etc.
- Maintenance: Whether you are buying a flat or an apartment, make sure to compare the maintenance costs.
- Carpet area: Check the carpet area of the unit before buying instead of the built-up area, which includes wall thickness, shafts, staircase, elevator, etc.
- Location: Location is a crucial factor when buying or renting a house. Make sure the area has access to public transportation and offices. Besides, check the neighbourhood for the availability of schools, markets, healthcare facilities, shopping malls, etc.
- Financing: After you have decided to buy a house, decide on the financing option, such as home loans. For this, it is important to assess your financial situation. Find out if the lender is willing to finance the property.
- Level: A flat is one storey, while an apartment can be multi-storey. Make a decision based on your personal preference.
- Lifestyle needs: The availability of facilities in a flat and an apartment differ. So, one should make a decision based on their lifestyle choices.
- Approvals and documentation: Make sure to inspect the relevant documents. It is also important to check if the required approvals have been received from the relevant authorities. Get the builder-buyer agreement by providing the token amount.
Benefits of flats over apartments
- Investing in a flat gives one privacy, unlike an apartment complex comprising a cluster of buildings.
- Due to the fewer residential units, there is more control over quality and amenities.
Benefits of apartments over flats
Apartments tend to have more benefits than flats in a residential building.
- Investing in an apartment is comparatively affordable as there are several units in the complex.
- There is better security in an apartment complex compared to buildings with individual flats.
- Apartment complexes have access to better amenities such as a gymnasium, swimming pool, etc., catering to modern lifestyle needs.
- Further, in India, apartments are considered more upmarket compared to flats as they come as part of luxury gated complexes with several amenities, catering to a modern lifestyle.
Difference between an apartment and a condo
Condominiums or Condos and apartments are types of residential properties with similar features. However, condos and apartments differ in their ownership.
- Ownership: An apartment is usually a residential property that is rented within a building. On the other hand, condos are residential units in a building owned and occupied by individuals.
- Maintenance: The owner of a condo is required to pay monthly dues to the Homeowners Association (HOA) while apartment tenants are not required to pay property taxes and internal maintenance expenses. They are required to pay only the rent.
- Amenities: Condos are customised by the owner with amenities and fixtures such as flooring, countertops, grade-one appliances, etc. Besides, there may be luxury amenities such as a gymnasium, parking, swimming pool, etc. On the other hand, the amenities in an apartment are the ones provided by the builder.
Can you rent a condo?
Yes, condos are available for rent. However, one should check the terms and conditions of the agreement before renting, as they may differ from the ones prepared for a flat or an apartment. In the case of renting a condo, the individual will be registered as a tenant in the homeowner’s association and must pay dues for the upkeep of the common areas on the premises.
Who pays the maintenance charges in condo?
In case of a condo, the maintenance may be the responsibility of the owner or the tenant, depending on the rental agreement. However, in some cases, the maintenance expenses are borne by both the owner and the tenant. Another key point to remember is that while the HOA is responsible for maintaining the building, those residing in the unit must bear the maintenance costs for interiors. These may include repair expenses for electrical wiring, leaky faucets, chipped tile, etc.
Difference between an apartment or flat and builder floors
A builder floor refers to an independent flat or an apartment in a residential building sold as an individual unit. Builder floors are single residential units located on each floor. Unlike apartments or flats, the entire floor is available instead of only a part. Builder floors are commonly available in the sizes of 2, 3, 4 and 5BHK.
One of the advantages of builder floors is the availability of facilities like those in a flat scheme. At the same time, they have the privacy of private houses as there are no apartments on the same floor.
Difference between flats and plots
| Parameter | Flats | Plots |
| Definition | Flats are fully developed residential units located within a gated society. | Plots refer to a piece of land used for residential or commercial development. |
| Price appreciation rate | The value of a flat or an apartment decreases over time owing to several factors. | The value of plots tends to increase over time compared to flats or apartments, owing to factors such as scarcity, demand, etc. |
| Financing | Home loans are available for the purchase of flats at affordable rates. | Loans for plots or house construction are usually available at higher interest rates. |
| Income potential | Rental income from flats can be generated without furnishing it. | Income can be generated from plots only if a structure is built over it. |
| Taxation | A homebuyer can avail of tax benefits on home loan interest and principal repayment. | A homebuyer can avail of tax benefits on loans only after a plot is constructed. |
Housing.com News Viewpoint
When purchasing any residential property, it is essential to be aware of the commonly used terms such as flats, apartments, condos and builder floors to make an informed decision. These properties are broadly similar but have certain differences in terms of features, price, etc. So, it is necessary to evaluate these properties based on these parameters.
FAQs
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