Humber/Ontario Real Estate Course 1 Exam Practice

If a buyer purchases a unit in a building with multiple units and shared common spaces, what term best describes their ownership?

1. A tenancy agreement involving multiple persons

2. A standard condominium

3. Common elements condominium

4. A high-rise residential, rental building arrangement

The correct answer is: A standard condominium

The term that best describes the ownership of a buyer who purchases a unit in a building with multiple units and shared common spaces is a standard condominium. In a standard condominium, the individual unit owner has ownership rights to their specific unit as well as an undivided interest in the common elements of the property, such as hallways, elevators, and recreational facilities. This type of ownership structure is common in multi-unit residential buildings and provides a balance between individual unit ownership and shared responsibility for common areas. While the other options may be related to real estate arrangements, they do not accurately describe the ownership scenario presented in the question. A tenancy agreement involving multiple persons typically refers to a rental situation, where tenants collectively lease a property. A common elements condominium refers to a specific type of condominium where common elements are shared by multiple condominium corporations. A high-rise residential rental building arrangement suggests a rental building scenario rather than a condominium ownership structure.