With more than 100 different cooperative buildings in Washington, the concept of cooperatives is often a mystery, even to the savvy purchaser. Overlooking cooperatives in your search for a Washington home, however, means ignoring many treasured, classic buildings. These buildings often combine interesting histories, distinctive and varied architecture, charming details, plentiful landscaping, stylish lobbies, and sought-after locations. This article is intended to highlight the similarities and the distinct differences between co-ops and condos for both the first time and experienced purchaser. The corporation in turn owns the land, building and common elements of the development.
Most people think of ownership as bricks, mortar and dirt.
This distinction affects settlement charges, eliminates the transfer and recordation taxes, and changes the way settlemetn happens. With this agreement, the owner agrees to the cooperative's bylaws and to pay a monthly fee toward the operation and maintenance of the building. Purchasers are more often familiar with condominiums, which have succeeded in both urban and suburban centers. The condominium concept, brought to DC in 1963, was legislated. A condominium can generally be defined as a fee simple ownership of a specific part of a property and an undivided interest in the common areas of the property.