In BC there are 5 common types of property ownership; Freehold, Strata, Co-Operative, Leasehold and Bareland Strata. There are advantages and disadvantages to each of the types of property ownership.  It’s important to know the differences  between the different types of property ownership when you’re shopping for a new home.

Freehold

Freehold, also known as fee simple, is the term typically referred to as ownership of a home. In this case, the owner is in full control over the land and buildings on it, subject to any rights of the Crown, local land-use bylaws and other restrictions.

Strata Titled

With strata title, an owner retains exclusive use and ownership of a specific housing unit and shared use of common areas like elevators, hallways, entertainment rooms and garages. This is used for apartments, townhouses and possibly duplexes.

Bare Land Strata

A bare land strata plan pertains to the land only and does not include the structures on the lot. In this instance, the strata corporation has no interest in the buildings on the land, so each individual owner is responsible for all maintenance, repair and insurance for his/her individual lot. However, there are often common properties and shared amenities that are maintained by monthly maintenance fees, such as clubhouses, street lamps, private roads and on-site services such as power, water and sewer.

Leasehold

This is when an owner purchases the rights to use a residential property for a long but limited period of time. Leaseholds are typically set for a period of 99 years, but only the remaining term is available for purchase. At the end of the leasehold, the property can be returned to the original owner, which is usually the municipality or the First Nations. The shorter the remaining time left, the less a buyer will be willing to pay.

Cooperative or Co-op

This is where each owner owns a share in the cooperative association and each shareholder is assigned a particular unit for living Housing co-ops typically have rules that must be followed and the owners work together to manage the co-op.

For more questions about types of ownership or other Real Estate topics let's chat. Available by phone at 778-835-5621 or email sheldoncoxford@gmail.com