Condo, PUD, Co-op: What's the Difference?

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Real Estate

Condos, PUD's, Co-ops: How Are They Different?


In a condo, the walls, floors, and ceilings are actually owned by all of the residents. The value of an individual condo depends on the desirability of the entire development. There are HOA dues/Condo fees as well as covenants, conditions, and restrictions (CC&Rs). These are regulations established by the HOA  that can vary depending on the type/quantity of amenities, size/price of the complex and its location. There are typically many rules and restrictions that can be found in the Condo Documents. They can include parking rules, noise restrictions, the color of curtains or blinds (to match the color of the building) how many pets you can have and their size, paint color, etc. Some condo associations may even require an owner to install carpet or an area rug if the unit is on any floor above ground level (to muffle sound).

Planned Unit Development (PUD):

The main difference between PUDs and condos is that individuals own the actual structure and some land that the townhome or single-family-home sits on. Homeowner's association fees are typically lower than those of condos because there is less for the management company to maintain. Some PUDs may offer limited amenities like pools and club-houses.


A co-op is a corporation made up of all tenants. They are different from condominiums because co-ops aren't real property. Rather than owning a part of the actual structure, when you buy into a co-op you are buying shares in a corporation, which gives the resident the right to a unit on the property. Most likely, a co-op board will have to vote you in as a new owner—and approve whomever you sell to, which can be time-consuming. Co-ops are also known for prohibiting renting or subleasing.  Co-op fees can be larger than condo fees but usually include utilities. Larger units have more power in how the building is run.

These are only brief descriptions of PUDs, Condos, and Co-ops. There are also many neighborhoods that have no HOA fees whatsoever. If you have any questions regarding real estate or need help finding the right type of property for you, contact Nader Abed.