Bare Land Condo
In a Bare Land condominium project, units are created from the land. These provisions were added to the Condominium Property Act to allow such projects in 1983. There may or may not be buildings on the units. The unit boundaries are determined by monuments placed pursuant to the provisions of the Surveys Act. An owner of a Bare Land unit owns everything that is built upon such unit including all parts of the building, decks, patios, driveways, etc.
Where a conventional condo is defined by the walls, floor & ceiling, a Bare Land condo is defined by the size of the lot the building sits on. Lot boundaries are identified by a surveyors report such as a Real Property Report (RPR), much like freehold land. Hence, a Real Property Report is required for a Bare Land Condo. The area within the marked area of the RPR including structure, landscaping & garage are owned by the unit owner. Areas outside the marked area are common property and owned by all unit owners much like the conventional condo. A duplex and single family home are good examples of this because the unit is not restricted to just the building. Bare Land Condo’s are not just for attached properties (townhomes or duplexes). Single family houses can be considered Bare Land Condominiums.
In a Conventional condominium project the building is divided into units and the outside of the units is designated as common property. You must examine the plan to determine the unit boundary definition and you must also examine the plan to determine if the parking stalls or storage lockers have been titled. In the example plan in your binder, the parking stalls and the yards have been dimensioned and therefore may be leased to an owner pursuant to Section 50 of the Condominium Property Act. In a Conventional project the condominium plan can not be registered until the roof is on all units and the units can be measured and shown on a plan. All condominium plans registered prior to 1983 are conventional plans. Usually, the unit boundary definition is as set for in Section 9 (1) of the Condominium Property Act which is the unit consists of the finishing material and inwards in the unit. Unless the plan states otherwise, all doors and windows of a unit that are located on the exterior walls of the unit are part of the common property.
This is where units form part of a building or structure and are the private domains of the individual owners. Apartment style condominiums are a good example of this. Each unit’s boundaries are defined by the walls, floors and ceilings. Unit owners own the area inside these boundaries and any areas outside of these boundaries are considered common property, meaning it’s owned by all unit owners. Real Property Report’s (RPR) typically do not exist for conventional condo’s. In it’s place would be a Condominium Plan which is essentially a survey report of the entire condominium complex as opposed to only the individual unit. The unit owner of a conventional condo is individually responsible for the interior boundaries of their unit, but shares in the responsibility of the common property along with the rest of the unit owners in the complex.
TORONTO — Canadians looking to buy homes between $500,000 and $1 million will have to put down larger down payments as new federal rules took effect Monday.
Under the changes, homebuyers must now put at least 10 per cent down on the portion of a home that costs more than $500,000.
Buyers can still put down five per cent on the first $500,000 of a home purchase. Homes that cost more than $1 million still require a 20 per cent down payment.
Phil Soper, president and CEO of Royal LePage, says the new rules aim to slow the breakneck pace of price growth in the red-hot markets of Toronto and Vancouver without affecting markets that are lagging, such as those in oil-dependent provinces.
“The problem with monetary policy is that it impacts the struggling Calgary market or the just fine Winnipeg market and the overheated Vancouver market in equal amounts,” Soper said.
“If you lower interest rates, you lower interest rates for all. And that’s not what the country needed. This change … is the first attempt to recognize the fact that some parts of the country are in need of a mild tap on the break, while other parts of the country really need to continue to receive stimulus.”
When the new rules were announced in December, Finance Minister Bill Morneau said he estimated they would affect about one per cent of the overall real estate market. Some industry observers predicted a surge in sales activity as homebuyers would look to pre-empt bigger down payment requirements.
Soper says real estate markets in Ontario, B.C. and Quebec have been “boisterous” in the first five weeks of the year — but he says it’s unlikely that the new mortgage rules are responsible.
“I think it has much more to do with clean sidewalks from a mild winter and low mortgage rates than it does with impending changes that tweak mortgage insurance regulations,” Soper said.
“It’s just not a big enough change to have materially impacted home sales volumes in the country.”
Ottawa tightened rules for new insurable loans four times between 2008 and 2012, including upping the minimum down payment to five per cent and reducing the maximum amortization period to 25 years from 30.
The Canadian Press