Do you think that a condominium is a type of building? If so, you are wrong. A condominium can be a flat in Los Angeles, or a split-level townhouse in New York City, because a condo is a form of shared corporate ownership. In other words, you do not own your living area, you own a stake in the corporation, which controls the entire property. So how is ownership percentage determined?
Persons who have purchased the larger or more expensive condos will usually receive the greatest amount of shares. Unfortunately for them, this also means that they will pay higher monthly dues, as well as a larger chunk of any special amenities that the community decides to add to the property.
Ownership is a critical factor when purchasing your first condominium, especially if you want a certain amount of control over the property. For example, maybe a number of members want the pool resurfaced, while you do not want to foot part of the bill. As you are part of the corporation, you are obligated to abide by the decisions of the entire group.
For this reason, you may wish to move into a large condo that will give you a greater number of shares. An alternative method is to select a development that gives one vote to each owner, regardless of their ownership stakes, similar to a democracy.
Keep in mind that when you purchase a condominium, you are buying into a community. Thoroughly research the development, so that you don’t end up at the mercy of neighbors with whom you are never in agreement.