Basic information on Condominiums
Thinking of investing in a Condominium? Below is some basic key factors on everything you need to know.
Owning a condominium differs from owning a conventional home. There are three choices of condos that a buyer can pick from; a new condo, a resale condo and a conversion condo. Condominiums come in various sizes with diverse features, and can be found in almost every price range.
- You own a private unit. The unit is registered in your name.
- As the owner of the individual unit, you share ownership of the common elements.
- some common elements can be; lobbies, hallways, elevators, recreational facilities, walkways, gardens and other amenities.
- Before you purchase your unit, it is important that you identify boundaries of common elements. Elements may also include; structural, mechanical, and electrical services.
- Elements can also be outside the unit boundaries, but are for the sole use of the owner of a particular unit. (balconies, driveways, parking spaces, storage lockers).
- Some condos have restrictions, such as noise and number of people living in a unit.
What do you pay for?
- In addition for paying for your individual unit and common property; you will also pay monthly condominium fees.
- Extra condo fees cover the upkeep, and replacement of common elements.
- These extra fees may also cover the corporation’s insurance policies, utilities and services of snow removal.
- A common practice is for part of the monthly fees to be put into a reserve fund to cover the estimated cost of future maintenance repairs.