A housing co-operative provides its members with not-for-profit housing, in which the members do not own any equity. Co-operatives are able to offer affordable housing as they charge their members only enough to cover costs, repairs, and reserves, rather than being driven by profit.
Members are able to contribute to the governance of their co-op by voting on the annual budget, voting on policy and by-law changes, electing or running for the Board of Directors, attending meetings, and being involved in committees and events. Some households pay a reduced housing charge based on their income where the difference between the full housing charge and the reduced payment is paid through government subsidy.
In a co-operative, there is no landlord. Instead, the co-op is controlled by its members who vote on decisions about the co-operative.
How does a co-op work?
A co-op is usually divided into the following basic parts:
In order for a co-op to function, its members must assume certain responsibilities. If they do not, the co-op would not be worthy of its name. Of course, there will be some variation in the manner and extent of each member’s contribution, allowing for individual skills, lifestyles, and available time. The success of the co-op depends on members…