Property Ownership

In Missouri, a 'cooperative' (co-op) housing arrangement differs from a condominium because:

ACo-ops are always less expensive

BCo-op residents own shares in a corporation rather than direct real property, and the corporation holds title to the building✓ Correct

CCondominiums are always larger

DCo-ops are regulated by MREC directly

Explanation

In a cooperative, residents own shares in a corporation that owns the building and have a proprietary lease for their unit. In a condominium, owners hold direct fee simple title to their units.

People Also Study

Key Terms to Know

Fee Simple

The highest and most complete form of property ownership — absolute ownership with the right to use, sell, or pass the property to heirs.

Joint Tenancy

Co-ownership where two or more people hold equal, undivided interests with the right of survivorship — when one owner dies, their share passes to the surviving owners.

Tenancy in Common

Co-ownership where two or more people hold undivided interests that need not be equal and pass to each owner's heirs — no right of survivorship.

Deed

A written legal instrument used to transfer ownership of real property from one party (grantor) to another (grantee).