Humber/Ontario Real Estate Course 2 Exam Practice

What feature of a land lease community differentiates it from others?

1. Residents typically pay for ongoing maintenance services.

2. They are established on a leasehold basis.

3. They operate under the Residential Tenancies Act.

4. They usually involve non-profit or charitable sponsorship.

5. They require residents to purchase an equity share.

6. They end with the transfer of ownership.

The correct answer is: Residents typically pay for ongoing maintenance services.

In a land lease community, the feature that differentiates it from others is that residents typically pay for ongoing maintenance services. This distinguishes land lease communities from other types of housing arrangements where maintenance services may be included in the overall cost or managed differently. Option B is not correct because being established on a leasehold basis is a characteristic shared by all land lease communities. Option C is incorrect because land lease communities do not necessarily operate under the Residential Tenancies Act. Option D is not correct as land lease communities can be operated by a variety of entities, not just non-profit or charitable organizations. Option E is also incorrect because not all land lease communities require residents to purchase an equity share. Option F is not accurate as land lease communities do not typically end with the transfer of ownership.