There used to be a time when people used to reside in big mansion-type houses that were for them only. The time changed a little bit, and people started living in small houses or rented apartments. Today, the land is rarely available, especially in big cities, and people are required to adjust to buildings that can accommodate multiple residents at one time, such as flats and apartments.
Two very popular forms of residence in such a manner are the Condos and the Coops. These two are widely popular among the people that live in big cities like New York and Washington Etc. But even after referring to places of residence, these are considerably different from one another.
Condo vs Coop
The difference between Condo and Coop is that the former refers to a place of residence that exists in the form of an apartment and is shared by many people along with the facilities involved, but on the contrary, a Coop that refers to that place of living where the residents are a part of a non-profitable organization and owns the shares of it as well. This allows them to reside inside the building and have complete ownership of their particular unit’s share. Not only this, but there are huge differences in terms of the maintenance, restrictions, and affordability of these two places of living.
A Condo is also known by another name, Condominium. In simple words, it refers to a building where there are multiple residential units available in the same building, and a variety of people reside inside of these units. Each person owns their particular apartment only and owns the facilities mutually.
But on the contrary, a Coop does not provide you with the opportunity of holding the piece of property. In other words, if a person is said to buy a coop, it simply implies that he has bought the shares in a particular building or in a particular non-cooperative organization that runs a particular residential building.
Comparison Table Between Condo and Coop
|Parameters of Comparison||Condo||Coop|
|Meaning||It is a residential building comprising many apartments.||It is a residential building comprising units and managed by a non-commercial organization.|
|Full name||Condominium||Housing Co-operative|
|Ownership of||It allows the owner of apartments along with mutual ownership of facilities.||It allows ownership of shares in the organization.|
|Taxes||Tax is paid individually for each apartment.||Tax is paid collectively for the whole building.|
|Managed by||All the residents in a mutual yet individual manner.||A board of directors is elected by the residents.|
|Cost||The cost will include a certain percentage of maintenance cost for the building.||The cost will include everything from maintenance costs to repair chargers, etc.|
What is Condo?
A very popular word used in place of the condo is a condominium, and it is a very popular kind of residence, especially in the United States. Defining it in simple words, it can be termed as a basic building in which multiple apartments are present. When a person buys a condo, it means that he is buying a specific apartment in the building, and he is responsible for the ownership and maintenance of that apartment.
However, in certain cases, this responsibility can extend for a person with respect to the whole building as a condo is less like a commercial building but more like a mutual society. So, for such concerns, sometimes the cost for a condo includes the maintenance charges for the building as well.
When a person owns a condo, he does not only own his particular apartment but also owns certain facilities mutually with the other residents. These facilities include things like a swimming pool, elevators, garden, parking lot, etc. In other words, it can be an apartment and can be used with the term apartment interchangeably.
What is Coop?
Coop is a short word that stands for a housing cooperative. Unlike the other forms of residence, this refers to a particular building in which apartments are there. Still, the people who live inside those apartments do not own their specific apartments. Rather they own the shares in the interest of that particular building. These shares are issued by a non-commercial organization that consists of all the residents of the society.
In the proportion in which each person has the shares for that building, they are said to pay the cost. This cost might include the maintenance charge, the housing text, and other emergency funds, which may be used in the case of a certain contingency.
One drawback is that the person does not get the ownership of his apartment, but he gets the ownership of the shares. However, this allows him to get a say whenever something significant happens related to the building.
This type of building is said to be suitable for those who are ready to make connections with their neighbors because due to being cooperative, a person cannot expect to reside individually and cut off contacts with other residents.
Main Differences Between Condo and Coop
- Owning a condo will amount to owning a complete apartment, while owning a Coop will only amount to owning a share in the building.
- In a Condo, the house tax is paid individually by each person residing in each apartment, while in a Coop, all the people compile their funds together and then pay a collective house tax.
- The full name for Condo is Condominium, while for Coop, it is Housing Cooperative.
- Condo allows the ownership of apartments along with mutual ownership of facilities. But Coop does not allow any such thing.
- In a Condo, the management is done by all the residents in a collective manner, but in a Coop, a complete body of directors exists that takes decisions after getting suggestions from every resident.
Deciding between a and a Coop can be difficult because, in the end, it all comes down to the preference of the person who is buying the property. If one wants to reside in a multi-Storey building and own the mutual facilities, the condo is the best option for that person, but if someone wishes to own the shares in the building too, then a Coop is the best option available.
However, these two are very different in terms of their maintenance and other structures. Not only this, but there are huge differences in terms of the maintenance, restrictions, and affordability of these two places of living.