How is cooperative housing structured?

In cooperative housing, the property is typically owned by a non-profit organization that holds the title to the entire structure. Residents do not own their individual units; instead, they own shares in the cooperative that entitle them to occupy a specific unit. This arrangement allows members to collectively manage and make decisions regarding the property, establishing a community-oriented environment.

The cooperative model emphasizes shared responsibility and collaboration among residents. Each member pays a monthly fee that contributes to the overall expenses of the cooperative, including maintenance, utilities, and payments on any underlying mortgages. This structure fosters a sense of community and often involves resident participation in governance.

In contrast to other options, such as individual ownership of units or renting from the local government, cooperative housing aligns with shared ownership principles. This model provides an affordable housing solution while also promoting active involvement from its members in the management of their living environment.