What is the difference between owning a condo and owning a freehold property in Ontario?

When you own a freehold property in Ontario, you own the land and the building on it outright, subject only to the limits imposed by law (zoning, easements, etc.). You are responsible for all maintenance and repairs, pay property tax directly, and have no ongoing governance relationship with neighbouring owners.

When you own a condominium unit, your ownership is divided: you hold exclusive title to your unit (generally defined by the walls, floors, and ceilings of your suite) and a proportionate share of the common elements (hallways, roof, mechanical systems, parking garage, amenities). The common elements are collectively owned by all unit owners through the condominium corporation, and the corporation is responsible for maintaining them.

Condominium ownership comes with ongoing obligations. You pay monthly common expense fees (maintenance fees) to the condominium corporation, which funds maintenance of common elements and contributes to the reserve fund. You must also comply with the Condominium Act, the condominium's declaration, by-laws, and rules. The condominium corporation is governed by an elected board of directors and holds its own annual general meetings.

For a buyer, condominium ownership means lower individual maintenance responsibility but less control over costs and governance. Freehold ownership gives full control but full responsibility for maintenance costs. Review the status certificate carefully before buying a condo — it reveals the financial health of the corporation and any special assessments.