Housing Issues For Families – Part 2

Condominiums

A man builds a fine house; and now he has a master, and a task for life; he is to furnish, watch, show it, and keep it in repair, the rest of his days.”

Ralph Waldo Emerson (1803 – 1882)

A condominium is another type of apartment; however, owning a condominium is very different from “owning” a co-op. In a condominium, owners actually own their space as real estate, as opposed to owning shares in the co-op building. They have a deed, the same way you have a deed on a house. When a person owns a condominium apartment, he/she owns whatever is inside the walls/unit and also a proportionate share of the common elements of the building. For example, if there are 4 apartments in the building, the owner would have a deed for their apartment and a 25% interest in the common elements in the building as well.

Just like with the co-op, the building has an offering plan. It has a budget and, depending on its size, they may have a management company and it can borrow money, if needed. Monthly maintenance payments in condominiums are usually called “common charges” and they relate to the unit owner’s proportionate share of the costs needed to run the building. Click here to read more.