With Co-ops, you purchase shares of a corporation, that is regiistered on title. You receive an occupancy lease for a specific unit with the exclusive right to use it. You do not receive a deed; you receive shares in the corporation.
There are approximately 50 co-op buildings in Toronto. As with any corporation, not all co-ops are created equal and there are differences with every building that need to be carefully reviewed...some are more fantastic than others. A handful of equity co-ops are not recommended however the title type should never be discounted as many are considered more prestigious than condos or co-ownerships.
Many buyer's of co-ops use personal lines of credit for the financing of co-op's, not mortgages. Many equity co-ops allow pledging of shares for financing and there are lenders who specialise in this unique product.
Many co-op, Board of Directors will not approve the purchase of a buyer who requires financing and have no financing on them at all, which makes for a rather posh clientele.
Generally who suits this product best is a mature buyer, downsizing from a larger property who desires a unique lifestyle or specific neighborhood.
There are many misconceptions about this style of ownership because contrary to many real estate professionals co-ops typically have a MORE EXCLUSIVE or PRESTIGE clientele, not a lesser clientele.
You need to work with people who understand this business and the corporation bylaws and rules of each building.