Before beginning your search, your first step is to get pre-approved for a mortgage loan (unless you will be paying in cash for the full price of your home). We can connect you to a mortgage broker. Based on your income and credit history, the mortgage broker will determine how much the bank will lend you, which will help you determine the price range for your search.
The “REBNY” is a form which supports your offer on any property. It also allows us to better understand specific criteria which some buildings look for, like debt-to-income ratio and post-close liquidity.
Attend viewings and open houses spanning a range of areas and property types. Now is the time to consider your ideal home’s location and amenities.
We will discuss and help prepare an effective offer - which at this point is non-binding. A REBNY Financial Statement, short bio, real estate attorney info and pre-approval/proof of funds are required to support an offer.
Analyze the contract of sale, building financials, and board minutes with your attorney. It’s best to work with an attorney who specializes in New York City co-op and condo sales. Your attorney’s job is vital to protecting your interests, and they have an incredible amount of paperwork to review on your behalf. Therefore, you want to select an attorney who is familiar with these transactions - we have plenty of excellent attorneys to recommend.
At contract signing typically 10% of the purchase price is required to be held in escrow. Once the seller countersigns the contract you are officially in contract!
Now it is time to work with the bank. An appraisal will be ordered whilst the bank processes your loan application.
Prepare Your Board Package (If you are purchasing a townhouse, skip ahead to Step 11.) Co-ops are run by a board of directors, who will require a board package in order for you to purchase an apartment. A board package generally consists of financial documents including tax returns, bank statements, mortgage commitment from your bank, and letter of reference. After reviewing your package, the board will set an interview date. We will help prepare your board package as well as prepare you for your interview. While condos do not generally require interviews, you will need to present a purchase application that shows you are financially qualified to purchase the apartment
Board Requests Interview with Buyer
Board Approves the Purchase
Bank Issues Clearance to Close
Closing Scheduled by Attorneys
Final Walk Through Before Closing
Closing Day. Welcome Home, Congratulations!
There are a few key differences between owning a condo and owning a co-op. Owning a condo is like owning a house. Those who buy condos receive deeds and specified pieces of real estate, while those who buy co-ops maintain shares of corporations that own the buildings where their units are. Condos are typically more expensive from purchase to closing but provide more flexibility to the owner, such as using as an income producing property immediately.
75% of NYC's housing. Built before 1980s.
25% of NYC's housing. Built after 1980s.
3-4 months after contract signing.
1-2 months after contract signing.
Very strict and thorough. Personal Interview required.
Less rigorous—no interview. Quicker to approve.
Indirect. Stock certificate and lease.
Direct. Buyer owns real property.
Some tax deduction can be taken for owner's shame. Taxes are included in monthly maintenance.
Owner pays typical homeowner taxes.
Limited, based on building regulations.
Investor friendly.
New buyer must be approved by co-op board.
New buyer will rarely be denied.
Rarely.
Yes.
Typically purchaser needs to receive bank commitment letter/prove sufficient cash to cover purchase
We pride ourselves in providing personalized solutions that bring our clients closer to their dream properties and enhance their long-term wealth. Contact us today to find out how we can be of assistance to you!
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Heema Khedr
111 5TH AVE FL 6 NEW YORK, NY 10003