Which ownership type is defined as fee simple title to a unit with an undivided interest in the common areas?

• A. Condominium Ownership
• B. Cooperative Ownership
• C. Time Share Ownership
• D. Life Estate

Answer: (A)

In this ownership form you hold two things at once: you own your own unit outright in fee simple, and you share an undivided interest in the building’s common areas with the other unit owners. That means you have exclusive title to your unit, plus a proportional, non-physical ownership stake in the shared spaces like lobbies, hallways, elevators, amenities, and any land or facilities used by all owners. The common areas are managed by an association funded by regular maintenance fees.

This combination—exclusive ownership of the individual unit plus an undivided, shared interest in the common elements—defines condominium ownership. It differs from cooperative ownership, where you own shares in a corporation rather than a deed to a unit; from time-share arrangements, which grant use rights for limited periods; and from a life estate, which encumbers ownership for a person’s lifetime.