PROPERTY TYPES - CO-OPS

When you purchase a co-op, you buy shares in the corporation that owns the building, instead of owning the actual property. Most co-ops are financially sound and are managed by a Board of Directors, who approve all prospective buyers. You and your buyer’s agent will put together an extensive application in preparation for your board interview. Co-ops are generally purchased as primary residences, as their sublet policies often require owner occupancy for at least two out of every five years. As a result, many NYC investors prefer condos, which means that co-ops are typically less expensive than condos. In addition, co-ops typically have lower closing costs than condos.

Financing :
Typically up to 80%

Inventory:
Approximately 75% of NYC market

Ownership:
Shares in the corporation

Building Approval:
Detailed board package
and interview process

Monthly Expenses:
Maintenance charges

Sublet Policy:
Restrictive and building-specific

Cost:
Generally less expensive than a condo