Humber/Ontario Real Estate Course 2 Exam Practice

What do land lease communities and life lease communities in Ontario have in common?

1. Occupants in both are responsible for payment of ongoing services.

2. Both are established on a land lease basis.

3. Both fall under the Residential Tenancies Act.

4. Both are typically sponsored by a non-profit or charitable organization.

5. Both require occupants to purchase an equity share in the property.

6. Both involve a transfer of ownership at the end of the lease term.

The correct answer is: Occupants in both are responsible for payment of ongoing services.

Land lease communities and life lease communities in Ontario have in common the fact that occupants in both are responsible for payment of ongoing services. This means that individuals living in these communities are required to cover the costs related to services such as maintenance, repairs, utilities, and other necessary expenses for the properties they inhabit. Options B, C, D, E, and F are not correct because land lease communities and life lease communities do not necessarily share these characteristics. For example, while both types of communities may be established on a land lease basis, not all life lease communities involve a transfer of ownership at the end of the lease term, and not all land lease communities are sponsored by a non-profit or charitable organization. Therefore, the most accurate commonality between land lease and life lease communities in Ontario is that occupants in both are responsible for payment of ongoing services.