Does Your Condo Parking Spot Really Belong to You?
If your condo unit comes with a parking spot, you might assume that you own it. However, this is not always the case. Some parking spots are owned, while others are designated for exclusive use. Understanding the difference is crucial, especially when buying or selling a condo.
Owned Parking Spot vs. Exclusive Use Parking Spot
1. Owned Parking Spot
When a parking spot is owned, it is a separate piece of property with its own legal title. This means:
- You have full ownership rights.
- You can sell or transfer the parking spot separately from your condo unit.
- It may be subject to property taxes and additional maintenance fees.
2. Exclusive Use Parking Spot
An exclusive use parking spot, on the other hand, is not actually owned by the condo unit owner. Instead:
- You have the right to use the space, but the condominium corporation retains ownership.
- The spot is often assigned to your unit in the condo’s declaration.
- You cannot sell or transfer the parking spot separately.
- Rules regarding the use of the space may be set by the condo board.
Why It Matters When Selling a Condo
Before selling a condo unit, it is essential to confirm the ownership status of the parking spot. If a parking spot is exclusive-use but misrepresented as owned, it can lead to disputes or even legal issues.
Real Estate Example: Avoiding Misrepresentation
When selling a condo townhouse, I discovered through the status certificate that the parking spot was exclusive use rather than owned. To prevent any misunderstandings, I clearly stated this information on the MLS listing. This transparency helped avoid potential conflicts and ensured a smooth transaction for both buyer and seller.
Key Takeaways for Condo Buyers and Sellers
- Check the ownership type of your parking spot before listing or purchasing a condo.
- Review the status certificate to verify the details.
- If selling, clearly state whether the parking spot is owned or exclusive use in the listing.
- If buying, ask your real estate agent to confirm the ownership details before making an offer.
Need Expert Guidance? Meet Leo Shiu
When navigating the complexities of condo real estate, it’s essential to have an experienced agent by your side. Leo Shiu is a seasoned Toronto Listing Agent fluent in eight languages, making him a top choice for international and local buyers alike. With exceptional negotiation skills and a deep understanding of real estate regulations, Leo ensures that every client gets the best deal possible.
Looking to buy or sell a condo in Toronto? Contact Leo Shiu today for expert guidance!