Property Ownership

What is a 'cooperative' (co-op) housing arrangement, and how does it differ from a condominium in Rhode Island?

AA co-op is the same as a condominium
BIn a co-op, residents own shares in a corporation that owns the building, receiving a proprietary lease for their unit; in a condo, each unit is owned in fee simple✓ Correct
CA co-op is exclusively for commercial use
DA co-op is a government-run housing program

Explanation

In a cooperative, residents own shares in the corporation that owns the building and hold a proprietary lease for their unit—they do not own real property directly. In a condominium, unit owners hold fee simple title to their unit. Cooperatives are less common in Rhode Island than condominiums.

Related Rhode Island Property Ownership Questions

Practice More Rhode Island Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Rhode Island Quiz →