What is a Co-op
A co-op is an apartment building owned by a corporation, in which each owner purchases shares representing the value of a single apartment unit and receives a proprietary lease as evidence of title.
The average price is approximately $1,000 per square foot.
The average monthly maintenance is approximately $2 per square foot, and it includes real estate taxes, underlying mortgage for the building, heat, hot water, staff salaries, and insurance.
Most co-ops have rules which either prohibit or limit owners from renting out their apartments.
Co-op Boards oversee the budget and general workings of the building such as capital improvements and day to day maintenance.
When purchasing a co-op you will be required to make a down payment of 20% to 50% .
The board package and interview is used to screen potential buyers. Most boards are looking for solid financials, 12-24 months of living expenses in liquid assets post closing, and a debt to income ratio around 25%.