Freehold Ownership allows the most rights of any property ownership.
The owner owns the house and the land upon which the house resides.
The owner can decorate or renovate as they please.
The owner is responsible for all maintenance of their property, inside and outside.
Freehold ownership is the most common type of home ownership.
Condominium Ownership refers to ownership of a unit, plus a shared interest in the common elements, such as, hallways, elevators, parking, etc.
Condominiums are usually apartment buildings, but can also include townhouse developments.
The homeowner is responsible for the interior of the unit, while the condominium corporation is responsible for the up-keep of the building exterior, common elements and the grounds.
Unit owners pay a monthly fee to cover the cost of maintenance and repairs.
Unit owners must abide by condominium rules and by-laws, which may include restrictions on décor, pets, bbqs and noise. Therefore, homeowners have fewer rights.
Condominiums are usually less expensive than freehold homes.
A Freehold townhouse or detached home that is built on a private road can also have a common elements condominium corporation agreement in place to cover the shared cost of maintenance and repair of that road. This is referred to as a Parcel of Tied Land (POTL). Title to that parcel of tied land is permanently attached to the common interest in the common elements condominium corporation.
Before submitting an offer to purchase, make sure you understand the type of home ownership you are considering and how it impacts you.
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