What is A Housing Co-Op?

A housing co-operative (co-op) is a group of people who form a corporation under the Cooperative Association Act to provide housing services to its members. Members elect a board of directors (Board) from among themselves and authorize the Board to conduct the day to day business of the Cooperative in a manner that satisfies all of the requirements of its Charter, Bylaws, Agreements, and Policies.

Co-op members do not have a landlord and monthly rents are called "housing charges". Co-ops are inspired and guided by the seven international co-op principles in everything they do.

A monthly housing charge is like rent. It’s what the members pay each month to live in the co-op. Housing charges set by the Board are usually set to the amount the co-op needs to break even, after paying all its operating expenses and setting money aside for long-term capital repairs. 

To become a member of a co-op, you must purchase a share. Shares also stand as the co-op's working capital. Each share gives a member a vote in general meetings. Shares usually range from $1,000 to $7,000 (a typical share purchase is around $3,000). Some co-ops permit jointly held shares (held between two or three members in a household); others prefer a one-member-per-household model.

A share is a little bit like a damage deposit in that you get the money back when you leave the co-op, unless the unit has been damaged, or you owe money to the co-op, in which case the share is used to cover repair costs or settle the debt. Non-profit housing co-ops do not return share purchases with interest.

Housing co-ops are independent organizations and each one has its own application process.