When you Own a house in lets say america you own the Land. You can renovate, rebuild the house do whatever you want because you own the land. But lets say you buy a condo in a city like NYC? You only own the apartment building? But what happens if the building needs to get completely demolished? Or a huge chunk needs to get renovated etc.? What happens to you or your apartment or condo?
In: Other
There is still an organization that manages the building and collects fees for maintenance, repairs, trash collection and electricity of the common area. These charges appear similar to a rent. Apartment owners may get to vote on important decisions, such as who manages it or big repair projects. You own a share of the plot of land the building is on.
For ELI5 sake I’d say it’s more like buying stock than property. You own a share of the property, with exclusive rights to a specific chunk that is your living space. You are still subject the issues and whims of the overall company though, and for example might get hit with a “special assessment” for something like the overall unit needing a new roof or some general group maintenance.
For the most part you own the interior of the space and all common areas/outside walls/roof are communally owned through a home owners or condo association. Everyone pays monthly dues to keep up the building and make repairs.
NYC and a few areas also have a concept called a housing co-op where instead of buying a unit you buy shares of the entity that owns building and get one of the units to live in. It’s basically a housing company that you’re part owner of and have partial rights of ownership.
Something that will blow your mind: it’s possible for an entity to own a whole building but not the land it’s built on.
You own your apartment and a percentage of the common interest, which includes things like lobby, machinery, basement, gym. Etc
If the building needs improvement or repairs the building either uses reserves, borrows or hits you with an assessment. If the building gets demolished you’re SOL
Depends on the jurisdiction but you essentially become co owner of the plot itself. Even if an earthquake knocked down the apartment building into rubble as an apartment owner you’re still co owner of the plot.
It varies. Most of the answers to those questions are on the lease. That explains who is responsible for what. If you sign it, you are bound to it.
OP, I think you mean owning the whole building, right? It seems like many are assuming you meant an individual unit.
You are incorrect in assuming that you have to own the land to renovate the house. Same thing with a building. You can own the building, but not the land underneath it. If you own it, you can do whatever you want.
When you buy or own an apartment or condo, you own the unit itself but not the land it’s built on. The land is owned by the building’s management or a condo association. If the building needs renovation or demolition, the costs will be shared among all the owners through fees and assessments. However, the specifics of who pays what can vary based on the building’s bylaws or governing documents.
I have a question. Hopefully, someone could explain
I live in NYC, so what happens if you owe a house right and your surroundings’ neighborhood sold to an owner/ contractor to build a luxury building, but your the only one not to sell can the person who’s. Building the high end building force you out if your not giving in?
Latest Answers