Learning About The Basic Types Of Ownership

Though there are many new types of ownership or housing tenure across the world, such as the introduction of condominiums in the Philippines, the basic types of housing tenure are still the predominating type of housing tenures in the country.

In housing tenure, tenancy and owner occupancy are considered as some of the most widely used form of ownership across the world. Though there are many new types of
ownership or housing tenure across the world, such as the introduction of condominiums in the Philippines, the basic types of housing tenure are still the predominating type of housing tenures in the country.

What is tenancy and owner occupancy?
Tenancy, according to many philippine real estate experts, is the type of housing tenure which usually embodies apartments,
while owner occupancy (or home ownership) is the type of housing tenure that embodies owning a house. These two types of housing tenures are also known for their
advantages and disadvantages.

Advantages and disadvantages

Tenancy
According to many philippine real estate experts, tenancy or leasehold estate is supposed to be the most affordable type of ownership in the industry. This is because, unlike the housing tenure owner occupancy, in which large investments are normally required, people could easily find a suitable type of housing with tenancy, which is for apartments.

However, the disadvantage of tenancy or leasehold estate is that tenants have to pay the landowner even though they are doing all of the agricultural work. In a sense, it is a cycle where the tenant is never really able to become a landowner because they constantly have to pay the landowner, as well as other expenses.

There is also the issue about having the control of the land. The landowner, since he is ultimately owner of the land, also can have a say in what the tenant uses the land for.

There is also the fact that the landowner could evict the ones living in his/her apartment.

Owner occupancy
Owner occupancy or home ownership involves an individual, or group of individual, owning any type of house, such as townhouses or condominiums. However, the type of
housing tenure that embodies townhouses and condominiums are mostly modified forms of owner occupancy. The best example that uses this type of housing tenure are
houses.

The advantage of owner occupancy over tenancy is it gives occupants the right to modify the building and land as they please. It also protects them from eviction, and creates a right to occupation which can be inherited. The disadvantage, however, is that houses and the land it sits on are expensive. According to many href="http://www.avidaland.com/">philippine real estate experts, the combination of monthly mortgage, insurance, and property tax payments is greater than monthly
rental costs.