When considering multi-unit living, you may come across the terms strata and condo. While they are often used interchangeably, they originate from different legal frameworks and have unique characteristics, particularly in Canada and Australia. From a practical perspective, strata vs condo is almost interchangeable.
What Is a Strata?
A strata refers to a type of ownership commonly found in multi-unit developments, particularly in British Columbia, Canada, and Australia. In a strata-titled property, individual units are owned separately, while common areas are collectively managed by a governing body known as a strata corporation or strata council.
Key Features of Strata:
- Governing Body: The strata corporation is responsible for the maintenance of common areas like lobbies, pools, and gardens.
- Strata Fees: Owners pay regular strata fees to cover shared expenses, ensuring the community remains well-maintained.
- Legal Framework: In BC, strata properties are governed by the Strata Property Act .
What Is a Condominium (Condo)?
A condominium, or condo, is the term widely used in the United States and other Canadian provinces, such as Ontario and Alberta. Similar to strata properties, a condo involves individual ownership of a unit with shared ownership of common areas.
Key Features of Condos:
- Governing Body: Condos are managed by a Condominium Association (in the U.S.) or a Condominium Board (in Canada).
- Condo Fees: Owners contribute condo fees for the maintenance and upkeep of common property and services.
- Legal Framework: In Alberta and Ontario, condos are regulated under their respective Condominium Acts .
Key Differences Between Strata and Condo
- Terminology: The primary distinction is in the terminology and regional usage. “Strata” is more commonly used in BC and Australia, while “condo” is the standard term in the U.S. and other Canadian provinces.
- Legislation: Strata properties operate under different legislative frameworks compared to condominiums, such as the Strata Property Act in BC and the Condominium Act in Ontario.
Similarities Between Strata and Condo
Despite their differences, strata and condo properties share several similarities:
- Unit Ownership: Owners have individual ownership of their units.
- Common Property: Owners share responsibility for common areas, including hallways, gardens, and amenities.
- Management: Both types of properties have governing bodies that oversee maintenance and enforce community rules.
- Fees: Owners pay regular fees to cover maintenance costs.
Conclusion
Understanding the differences between strata vs condo ownership is crucial for anyone considering multi-unit living. Both structures provide unique advantages and responsibilities, governed by distinct legal frameworks. Whether you choose a strata or condo, knowing what to expect can help you make informed decisions about your living situation.
For more information on strata vs condo properties, consider exploring resources specific to your province or territory, as regulations can vary widely.
At Eli Report, we use the terms interchangeably, but you’ll get a report that generally uses the terminology you are familiar with (we do talk about special levies vs special assessments). Run an Eli Report to learn more about your community.