Living in a condominium is becoming a popular phenomenon especially to young generations. Most young families are striving to own a unit whether as rented on bought. You can conveniently own one with Mirabella Condos. You need to make a free registration to book. So, its worth to mention to you that condominiums are classified into two major categories including freehold and leasehold. Four subcategories exist under freehold condos: phased, vacant land, common elements, and standard. This article will elaborate to you the different types of condos.
Different types of condos
The term freehold means that the condo developer owns the land on which the condominium units are built. Because the developer owns the land, ownership of the condo units can be transferred to potential buyers. Freehold condos are commonly found as low-rises, high-rises, and row condos. Here are the four subcategories of freehold condominiums.
This type of condo is comprised of buildings that are divided into units alongside common elements. When you purchase a standard condominium, you are buying the unit’s walls, the ceiling, and the floor. Additionally, you own the plumbing and the electrical wiring within the premises, and often a parking zone. The remaining space outside your door is called a common area. This common space is jointly owned by you and your neighbors, and you collectively pay a monthly maintenance fee to the condo’s owners association. Examples of the common elements in a standard condo are walkways, hallways, visitor parking, driveways, and recreational facilities.
A phased condo is a standard condominium that is being developed in phases until the entire project is complete. Phased condos give a large scale developer a chance to sell individual units before the completion of the whole project. The condo developer has approximately ten years to add to the condominium project and amend the description as well as the declaration.
Vacant land condos
At the time of its registration, an empty land condo consists of only bare land. Sections of the land are sold as units of the vacant land condo and then build upon. The declarations of the condo should outline the set regulations and restrictions concerning the type of structures that can be constructed. Essentially, the land itself, not just the house, is the condo unit.
Common elements condos
This type of condo has no units, but only common amenities. Interest is attached to the existing parcels of land which are collectively referred to as “PTOLs.” The owners of the land parcels have obligations to maintain the common elements through cost sharing.
The leasehold condo concept was designed to give institutions that are unable to sell their land, for instance, hospitals and universities more options on land utilization and monetization. The land’s owner leases out the property to the developer. The lease period can neither be shorter than 40 years nor longer than 99 years. The buyers of the condo units do not own the units. Instead, they only have leasehold interests.
Each type of condominium comes with its share of advantages as well as disadvantages. Thus, it is vital for developers to conduct enough research to establish which type of condo is ideally suited for their projects. Furthermore, condo buyers should find out the type of condo they are buying to understand better their responsibilities and rights as condominium owners.