Divided and Undivided Co-Ownership in Real Estate: A Guide by Sonia Dubois

Divided Co-Ownership

Divided co-ownership is the most widespread type of condominium. You own a private portion, such as your apartment and parking space, and a share of common spaces such as corridors, the pool, and the gym. Each unit has its own school and municipal tax accounts, and a distinct lot number. You have the freedom to sell your unit without the agreement of the other co-owners, and your mortgage is independent from the other owners. A co-ownership syndicate is in charge of the building's administration, and you can participate if you wish. For personalized advice regarding divided co-ownership, do not hesitate to contact Sonia Dubois, a residential real estate agent, who will guide you with expertise.

Undivided Co-Ownership

The lesser-known undivided co-ownership involves buying a percentage of the building. There is no co-ownership syndicate; an undivided co-ownership agreement governs the rights and obligations of the co-owners. This agreement establishes your exclusive usage rights for your apartment and parking space, and describes the building's management. To resell your share, the agreement may require that you first offer it to the other co-owners. A single lot number and a single tax account are shared among the co-owners according to their respective shares. Sonia Dubois is available to answer all your questions on undivided co-ownership and to provide valuable assistance in your endeavors.

Financing

To acquire a divided co-ownership, a minimum down payment of 5% of the purchase price is required, making this option more accessible. On the other hand, an undivided co-ownership requires a down payment of 20%. If the down payment is less than 20%, CMHC mortgage insurance is mandatory. In divided co-ownership, you have the choice of the banking institution for your mortgage loan. In undivided, all co-owners must take their loan with the same bank. Source Centris. For detailed advice on co-ownership financing, Sonia Dubois, a residential real estate agent, is at your disposal.

Conclusion

Choosing between divided and undivided co-ownership depends on your needs and preferences. Divided co-ownership offers more individual freedom and a more structured management, whereas undivided co-ownership requires closer collective management. Making an informed decision in this area can be complex, which is why consulting an expert is essential. Sonia Dubois, a residential real estate agent, has extensive experience and in-depth knowledge in the field. She will guide you through the nuances of each option and help you choose the solution best suited to your needs. For more information or for a consultation, do not hesitate to contact her by email at soniaduboisremax@gmail.com or by phone at (514) 250-1802.