What Is A Condominium

A condominium describes a form of housing tenure (the financial arrangements under which someone has the right to live in a house or apartment).
It is the legal term used in the USA and Canada for a type of joint ownership of real property in which portions of the property are commonly owned and other portions are individually owned. In a multi-unit such as an apartment the unit is individually owned and the common areas such as hallways and recreational facilities are jointly owned by all unit owners in the building. It is possible, however, for condominiums to consist of single family dwellings. An association or corporation consisting of all the members manage the common areas usually through a board of directors elected by the members. Another variation of this concept is the "time share".
Your ownership extends inward from your interior walls, floors and ceilings. In addition, you are a partner, with all of the other owners in the complex, of the exterior structure - the foundation, exterior walls and roof as well as any common areas and amenities -swimming pool, play area, etc.

One of the requirements of condominium ownership is the payment of a monthly condo fee which covers general repairs and maintenance to the common areas of the complex as well as build up a cash reserve for future needs (the reserve fund). The exterior maintenance and repairs are the responsibility of the condominium corporation or association and are paid for through your monthly maintenance fees or a special assessment (a one time charge assessed to all owners for large items not covered by the yearly budget or reserve fund – an example could be the replacement of carpets in the hallways or replacing a roof). The normal day-to-day maintenance of the grounds (cutting the grass, shoveling snow and maintaining the pool) are also the responsibility of the corporation or association. Interior maintenance and repairs (replacing a dishwasher or a toilet) are the responsibility of the individual owner.
If you don’t want to do any exterior maintenance and repairs, you like the idea of amenities such as a swimming pool but you don't like the idea of having to pay for them on your own, you like the safety of numerous and nearby neighbors or you can’t afford the cost of a house then buying a condominium may be the way for you to go. A condominium can be advantageous when you want to do a lot of travelling and don’t like the idea of leaving a house empty. It can be a good way to gain entry into the house market as you should be able to build up equity and can be a good way to live when you retire and don’t want to do a lot of work maintaining and repairing a house.
As with any real estate purchase you should use a reputable real estate agent and have all documents looked at by your lawyer before you sign any papers.

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Irene Sherwood is a minister and freelance author. She has written articles covering a wide variety of subjects. Visit her website www.christian-community-chapel.com Christian Music - Article Directory - Audio Bible

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