3-Storey vs. 2-Storey Townhouses in Markham: Why Layout and Fees Matter More Than Ever

3-Storey vs. 2-Storey Townhouses in Markham: Why Layout and Fees Matter More Than Ever

Over the past year, I’ve had more and more conversations with Markham homeowners trying to sell their 3-storey townhouses, and a common question keeps coming up: why are these homes taking longer to sell than 2-storey townhouses, even when they’re newer or larger in size?

On paper, a 3-storey townhouse often seems like a better deal. You might get more total square footage, a newer build, or even a bonus room on the ground level that can serve as an office or gym. But in reality, buyers aren’t just looking at square footage, they’re thinking about how the space feels and functions day to day. And that’s where the 2-storey layout usually wins.

In a typical 3-storey townhouse, you have the garage and a small room on the first floor, your kitchen and living space on the second, and bedrooms on the third. While it sounds spacious, that vertical layout means each floor is smaller and more segmented, which can feel awkward. Running up and down multiple flights of stairs just to grab a snack, do laundry, or settle kids into bed can get old fast, especially for families with seniors who may have knee issues.

By contrast, 2-storey townhouses tend to feel more practical. The kitchen, dining, and living spaces are all together on the main floor, making everyday living easier and more connected. Bedrooms are just one level up. Even with a bit less square footage, the overall flow of the home often feels more natural. And for many buyers, that comfort matters more than numbers on a listing.

Another factor that complicates some 3-storey townhouses is the presence of POTL (Parcel of Tied Land) fees. While not all 3-storey townhouses have them, many newer developments do. These fees usually cover shared elements like laneways, snow removal, and landscaping. They're not outrageous, but they are an additional monthly cost, and in today’s market, buyers are doing the math. Add in higher property taxes and sometimes the requirement for a status certificate, and buyers start to wonder: is this really a freehold, or is it more like a condo?

For a while, 3-storey townhouses with POTL fees were popular with investors. They were slightly cheaper than traditional freeholds and could fetch similar rent. But now, investors are far more cautious. Every monthly fee is scrutinized. Unlike traditional 2-storey freeholds, where most outdoor maintenance can be left to the tenant, owners of POTL homes are still on the hook for those shared costs. As a result, the return on investment isn’t as attractive, and that portion of the market has gone quieter.

That doesn’t mean 3-storey townhouses are bad homes, they absolutely have their place, especially for buyers who prioritize modern finishes, a bit more space, or separate work-from-home areas. But in today’s market, with more listings and more cautious buyers, layout and monthly costs play a much bigger role than they used to. Sellers of 3-storey homes, especially those with POTL, need to be mindful of how their property is presented, priced, and explained.

If you’re thinking about selling, it’s worth stepping back and seeing your home through the eyes of today’s buyer. In a market like Markham, where choices are plenty and buyers are deliberate, a thoughtful strategy can make all the difference, whether your home has two storeys, three, or something in between.



WhatsApp Chat