Understanding the distinction between a townhouse and a unit is crucial for Victorian property sellers, as it impacts buyer perceptions and potential sale price. Essentially, a unit (or apartment) is typically one dwelling within a larger complex, while a townhouse is a multi-storey dwelling with its own entrance and often, a small private garden.
Currently in Melbourne, particularly within the Eastern Suburbs that Fletchers specialises in, this difference translates into how properties are marketed and valued. As of December 2025, townhouses generally command a premium due to the perceived greater land component and independence. Buyers in areas like Balwyn and Doncaster often favour townhouses for their space and privacy, especially families. Units, while popular with first-home buyers and downsizers, are assessed differently. The ‘owners corporation’ fees associated with both property types are a key consideration for buyers, and sellers should have these figures readily available. In 2026, we anticipate continued demand for both, but the gap in median price between the two will likely remain, reflecting buyer preferences. Preparation costs can vary; styling a townhouse to maximise space might cost $4,000 – $8,000, while a unit may require less extensive work at $2,000 – $5,000. Marketing strategies also differ, with townhouses often benefiting from campaigns that emphasise land size and lifestyle.
Ultimately, the classification impacts how a property is perceived in the market and influences the selling strategy employed.