Lehi Townhome vs. Single‑Family: True Cost To Own

Trying to choose between a Lehi townhome and a single-family home? The sticker price is only part of the story. You want a monthly number you can live with and a plan for long-term value, not surprises. In this guide, you’ll get a simple framework to calculate the true cost to own in 84043, an illustrative side-by-side example, and key HOA and resale factors to check before you write an offer. Let’s dive in.

How to compare monthly cost

Use this step-by-step framework to compare real monthly ownership costs for a specific townhome and a specific single-family home in Lehi:

1. Purchase price for each home.
2. Mortgage principal and interest using your lender’s quoted rate and down payment.
3. Property tax estimate based on assessed value and local rates divided by 12.
4. Home insurance divided by 12. For townhomes, include any HO-6 and loss assessment coverage.
5. HOA dues. Include single-family HOA if applicable.
6. Utilities: electricity, gas, water, sewer, trash, internet.
7. Maintenance and reserve allocation: about 1% of price per year for single-family, about 0.5% for townhome owner-responsible items, plus HOA dues.
8. Any recurring fees: parking, extra trash cans, or HOA assessments.

Add items 2 through 8 to get your total monthly cost.

What drives the price gap

In many neighborhoods, townhomes sell for roughly 10 to 30 percent less than comparable single-family homes. This is often due to less private land and smaller living area. That lower price can reduce your down payment and monthly mortgage.

Financing is usually similar, but if you plan to use FHA or VA, confirm the specific HOA or project meets program requirements. Lenders can apply different underwriting standards for attached units and condo-style townhomes, which may affect mortgage insurance and timelines.

Recurring costs in 84043

Mortgage principal and interest

Your rate, loan term, and down payment drive this number. A lower purchase price for a townhome typically translates to a smaller loan and lower P&I.

Property taxes

Utah’s effective property tax rates are relatively low compared with many states. For a precise figure, use the assessed value for the property and the applicable Utah County tax rates, then divide by 12 for a monthly estimate.

Home insurance

Single-family owners generally carry a standard homeowners policy that covers the structure and contents. Townhome owners often rely on the HOA’s master policy for exterior coverage and add an HO-6 policy for interior, personal property, liability, and loss assessment. Always confirm what the master policy covers and the deductible.

HOA dues

Townhome HOA dues in suburban Utah often range around 150 to 400+ dollars per month, depending on services like landscaping, snow removal, clubhouse amenities, and reserve funding. Some single-family neighborhoods have lower-fee HOAs, while others have none. Review budgets and reserve studies to understand whether fees are keeping up with long-term maintenance.

Utilities and services

Electricity is commonly provided by Rocky Mountain Power. Water, sewer, and trash are billed by Lehi City. Natural gas, internet, and cable vary by provider. Single-family homes often have higher total utility usage due to larger space and irrigation needs, while attached homes can benefit from shared walls and smaller footprints.

Maintenance and reserves

A practical rule of thumb is to set aside about 1 percent of the home’s price per year for single-family maintenance and small repairs. For townhomes, plan about 0.5 percent per year for owner-responsible items, recognizing the HOA typically funds exterior and common-area upkeep. Confirm exactly what the HOA covers, including roofs, siding, and major systems.

Other recurring items

Review the HOA’s history of special assessments and reserve funding. Consider yard care, parking fees, guest parking limits, and any add-on services not covered by the HOA.

Illustrative side-by-side example

The figures below are for demonstration only. They show how the math works and are not market norms.

• Assumptions: 30-year fixed rate at 6 percent; 20 percent down. Single-family price 600,000 dollars; townhome price 480,000 dollars. Estimated property tax rate 0.6 percent annually. Townhome HOA 300 dollars per month. Insurance 1,200 dollars per year for single-family and 700 dollars per year for townhome. Maintenance reserves: 1 percent per year for single-family, 0.5 percent for townhome owner items. Utilities 300 dollars per month for single-family and 225 dollars for townhome.

• Loan amounts and P&I: single-family 480,000 dollars at 6 percent is about 2,880 dollars per month; townhome 384,000 dollars at 6 percent is about 2,304 dollars per month.

• Monthly add-ons:

  • Property taxes: single-family about 300 dollars; townhome about 240 dollars.
  • Insurance: single-family about 100 dollars; townhome about 58 dollars.
  • HOA: townhome 300 dollars; single-family assumed 0 dollars for this example.
  • Utilities: single-family about 300 dollars; townhome about 225 dollars.
  • Maintenance reserves: single-family about 500 dollars; townhome about 200 dollars.

• Total estimated monthly cost:

  • Single-family: about 4,080 dollars.
  • Townhome: about 3,327 dollars.

In this illustration, the townhome is lower by roughly 750 dollars per month. Your numbers will vary with actual prices, rates, taxes, HOA dues, and insurance quotes. Run this same framework with the exact homes you are considering in 84043.

Appreciation and resale in Lehi

Lehi demand is supported by the Silicon Slopes employment hub, new construction, and access to I-15 and transit. In many suburban markets, single-family homes have historically appreciated faster than attached housing due to land value and broader buyer demand. That said, product and location matter most. A well-managed townhome community near jobs and amenities can perform very well.

When you evaluate appreciation potential, look at inventory by property type, days on market, new construction supply, local employment trends, and owner-occupancy levels in the development. Higher investor concentrations can increase volatility and financing friction.

Due diligence for Lehi townhomes

Review these items before you commit:

• HOA documents: CC&Rs, bylaws, budget, reserve study, and recent meeting minutes.
• Insurance: master policy coverage, limits, and deductible; confirm interior vs exterior responsibilities.
• Special assessments: history and likelihood based on reserve funding needs.
• Build quality: developer reputation, warranty terms, and any construction litigation history.
• Site factors: drainage or floodplain considerations where applicable.
• Utilities: service territories and current rates for electricity and city utilities.
• Rules: parking, pets, and rental restrictions if you plan to rent the unit.

Quick checklist to gather numbers

Use this checklist to fill in your cost framework for specific properties in 84043:

• Purchase price and estimated closing costs for each property.
• Current mortgage rate quote, down payment plan, and estimated mortgage insurance if applicable.
• Property tax estimate using Utah County assessed value and rates.
• Insurance quotes from Utah-licensed insurers for HO-3 (single-family) or HO-6 plus loss assessment (townhome).
• HOA dues, reserve study summary, master policy, and special assessment history.
• Utilities: recent usage estimates or typical monthly costs from Rocky Mountain Power and Lehi City Utilities, plus internet provider quotes.
• Maintenance reserve target based on home age, systems, and coverage responsibilities.

Which is the better fit?

If you want a lower monthly outlay and less exterior maintenance, a townhome often comes out ahead on cash flow after you include HOA dues and utilities. If you value a private yard, flexibility to modify your property, and potentially stronger long-run appreciation, a single-family home may be the better fit. The right answer depends on your specific homes, financing, and plans.

Ready to see real numbers on homes in 84043 you’re actually touring? Get a side-by-side cost breakdown and a clear plan for due diligence with Steve Schoonover. You’ll get local comps, HOA document insights, and a straightforward path to a confident decision.

FAQs

Are townhomes cheaper month to month in Lehi?

• Often yes on mortgage and some maintenance, but HOA dues and insurance differences can narrow the gap, so run the full monthly cost framework for each property.

Do townhomes appreciate less in 84043?

• Single-family homes often outperform attached housing over time in many suburban markets, but a well-located, well-managed townhome community can appreciate strongly in Lehi.

What HOA costs are easy to miss?

• Inadequate reserves and future capital projects can lead to special assessments; review the HOA budget, reserve study, and recent meeting minutes.

Who handles exterior repairs in a townhome?

• It depends on the CC&Rs; HOAs often cover roofs, exterior walls, and landscaping, while owners handle interiors, windows, and sometimes doors.

What financing differences should I expect?

• Most programs apply to both, but some attached projects need specific approvals for FHA/VA and may have different underwriting or mortgage insurance treatment.