6 Types of Rental Properties: Which is Best for You as a Renter?

As a renter, one of the first things you’ll need to decide is what type of rental property you want to move into. From apartments and condos to single-family homes and duplexes, there are plenty of options for all lifestyles and budgets.

In this Redfin article, we’ll cover the six types of rental properties, their pros and cons, and what to expect – before you decide where to call home. Whether you’re considering renting a home in Charlotte or are looking at apartments for rent in Los Angeles, there are a lot of rental properties to choose from.

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Deciding between renting or buying your next home?

Compare the costs of renting vs buying and find a lender to secure your mortgage.

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1. Single-family home

If your top priorities are space and privacy, then renting a single-family home is probably your best option. A single-family home is a standalone residence that functions as its own unit, meaning you’ll be renting the entire property. These homes feature direct access to the street, don’t share walls with other houses, and usually sit on a plot of land. However, it’s good to thoroughly read through a listing, as some owners may rent a room in their home. 

Pros to renting a single-family home

• Privacy: Because homes are typically well spaced out and don’t share a wall with a neighbor, these rentals are quieter and offer more privacy. Plus, you don’t have to use a communal elevator or hallway to access the home.
• Space: You’ll likely have more room in a house, including more bedrooms, a larger kitchen, and a living area. Single-family homes typically also have front and backyards, so you have added outdoor space, which can be a great bonus if you have pets.
• Parking: If you rent a single-family home, you’ll usually have a driveway and possibly a carport or garage to park your vehicle. Being able to park close to your front door offers safety and convenience. You likely won’t have to park in a large lot or on a side street and walk to your home.

Cons to renting a single-family home

• Chores: Renting a house may come with extra responsibilities, such as more maintenance and the possibility of yard work.
• Location: Single-family homes are often located in suburban areas, which are usually quieter, but further away from downtown areas. That could mean a longer commute to work or to go shopping or visit your favorite restaurants. However, this trade-off may be worth it.
• Cost: Though it depends on the area, renting a single-family home is typically more expensive than other types of rental properties. Since houses are usually larger than other rentals, utility bills are often higher than other types of rentals.

2. Low-rise apartment building

A low-rise apartment building features one to four floors filled with units. Renting an apartment in a low-rise building gives you the benefit of apartment living, but a little quieter. 

Pros of renting an apartment in a low-rise building

• Privacy: Fewer units mean fewer neighbors. Smaller apartment buildings offer more privacy and quieter living than larger apartment communities.
• Parking: Low-rise apartment buildings may offer parking closer to your unit, compared to a larger parking lot or underground garage. However, this varies from building to building.
• Low maintenance: A smaller space cuts down on the time you’ll spend doing chores. Plus, there’s no yard to maintain.

Cons of renting an apartment in a low-rise building

• Noise: Being close to your neighbors might mean you hear everything they do, while they’re in the hallway or through the walls you share.
• Less space: Apartments are usually less roomy than houses, which means fewer or smaller bedrooms and living spaces.
• Rules and restrictions: Low-rise apartment buildings may have several limitations regarding things like pets, visitors, and noise.

3. Large apartment complex

Larger apartment communities, whether a high-rise building or a mid-rise apartment complex, are another type of rental property that offers several benefits and drawbacks.

Pros of renting an apartment in a large complex

• Amenities: You may have access to features like a pool, an on-site gym, or green space when you rent an apartment in a large community. These apartment amenities could save you the cost of a gym membership or other expenses.
• Low maintenance: Renting an apartment is generally a low-maintenance experience. You’ll have to clean your space, but you won’t handle landscaping or caring for common areas. Usually, apartment complexes have on-site maintenance staff to handle minor and major repairs to your apartment.
• Less expensive: Depending on the location, renting an apartment is usually cheaper than renting a house. Large apartment communities also may include utilities like water or Wi-Fi in the rent price.

Cons of renting an apartment in a large complex

• Less space: Most apartments are smaller, so it can be difficult to get all the space you need. Closets and storage space are typically limited, especially if you’re renting a studio.
• Parking: You most likely won’t have a designated parking space that’s close to your front door. Instead, you’ll park in a large lot or parking garage. Some larger apartment complexes may offer designated spots, but this isn’t always the case. 
• Less privacy: Living close to so many people means you’ll have to sacrifice privacy. Since you share walls, floors, and ceilings, there might be extra noise from your neighbors.

4. Condo

A condo is similar to an apartment in that it’s a unit within a complex. But, it’s also like a house in that it’s typically an individual piece of real estate with an owner. You might be renting directly from the property owner, rather than a property manager.

Pros of renting a condo

• Amenities: Condo communities might include pools, gyms, covered parking, and other on-site amenities. The units often have quality appliances and fixtures, but this depends on the community.
• Flexibility: If you’re dealing directly with the property owner to rent the condo, you might have some room to negotiate the rent price and lease terms. 
• Better relationship with the property owner: Dealing with a landlord who has only one, or maybe two, properties has its advantages. By building a closer relationship with the owner, you may have an easier time negotiating repairs, upgrades, and lease renewal terms.

Cons of renting a condo

• Fees: Many condos have homeowners associations (HOAs), which handle the upkeep of pools, landscaping, and other maintenance. But, this comes at a price. When you rent a condo, you may have to pay HOA fees, which could be $200 to $300 a month.
• Restrictions: HOAs sometimes place restrictions on homeowners or renters, such as limiting the number of guests you can have at a time, the size of pets, or the items you can place on your patio.
• Less likely to renew a lease: Condo leases are not as stable as leases for other types of rental property. For example, condo owners may only rent the property for a set time period and might not renew a lease after a year.

5. Townhouse

A townhouse, or townhome, shares at least one wall with a neighbor, but they’re typically bigger than an apartment. In some ways, renting a townhouse combines the advantages of a single-family home and an apartment.

Pros of renting a townhouse

• Amenities: Townhomes are often located in communities with amenities like a pool or clubhouse. Many are also in gated communities with added security.
• Low maintenance: Even though you’ll probably have a yard, you may not have to worry about yard work. Many communities are part of HOAs, which have rules for upkeep on the home’s exterior and handle the maintenance.
• More space: Townhouses are usually two-story and can be as large as a single-family home, so you’ll most likely get all the space you need.

Cons of renting a townhouse

• Lack of privacy: Sharing a wall with neighbors can make living in a townhouse noisy. And, since the units are so close together, you won’t have as much privacy, especially when spending time outdoors.
• Extra costs: Besides rent, living in a townhome can be expensive. Like a condo, you may have HOA fees included in your rent or as an additional expense. Due to the size of the unit, you can also expect utilities to be higher.
• Rules and restrictions: HOA communities often have restrictions for renters and homeowners, such as in hosting gatherings and decorating the home’s exterior for the holidays.

6. Duplex

Duplexes are multi-family homes with two units in the building. Duplex units have their own entrances, but the units share one wall. Renting a duplex has its advantages. For instance, if you’re lucky enough to have a great neighbor, the two of you can look out for each other.

Pros of renting a duplex

• Privacy: Unlike apartment communities, having only one neighbor with a shared wall means much more privacy.
• Outdoor spaces: Duplexes usually have front and backyards for you to enjoy. This offers plenty of space for guests, pets, and hosting parties.
• Shared costs: Depending on the setup, you and your neighbor may share some of the costs for things like maintenance or HOA fees.

Cons of renting a duplex

• The possibility of a bad neighbor: If that one neighbor is noisy or messy, it could be a nuisance. And, you’ll have to talk to the property owner or manager.
• Shared spaces: In some cases, duplexes might share a driveway or yard. If your neighbor monopolizes these spaces, it could cause conflict. 
• More responsibility: Duplexes are typically privately owned, so the property owner may require tenants to handle general tasks, like yard work or keeping the exterior tidy.

How to decide which type of rental property is best for you

Space, privacy, and budget are all things to think about when choosing the type of rental property that’s best suited for you. To find the best rental property, narrow properties by location, the number of bedrooms, and types of amenities.