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That’s were a 2nd 20% loan would come into play, at least that is my understanding, because it is smaller it could be maybe a 5 year or 10 year loan, not grouped together with your traditional mortgage.
No, these are all cash buildings. No loans of ANY kind, no mortgages. And in some you have to have two or three times the purchase price in liquid assets, as well.
A million for a studio? NO. Not even close. Where are you finding your 'information?'
All those buildings going up downtown especially on & near 6th avenue in Chelsea and many of those condos going up in the East Village near Astor Place / Cooper Union. When I walk around the area, I notice most of the people coming in & out of the buildings barely look like they are out of college. And yes, those apartments do start at close to 1 million & you need to get approved by the condo board as well as have 20% down.
No, these are all cash buildings. No loans of ANY kind, no mortgages. And in some you have to have two or three times the purchase price in liquid assets, as well.
And don't forget that the autocratic co-op & condo boards that decide who gets to purchase & who doesn't are usually NOT financial experts with CPAs or attorneys but everyone is supposed to kiss their ass in order to overpay for a tiny apartment.
And don't forget that the autocratic co-op & condo boards that decide who gets to purchase & who doesn't are usually NOT financial experts with CPAs or attorneys but everyone is supposed to kiss their ass in order to overpay for a tiny apartment.
You don't live in a co-op, do you? I do. I've lived in three different co-ops in Manhattan and each of them had MULTIPLE attorneys on their boards. You really ought to stick with topics with which you're familiar.
All those buildings going up downtown especially on & near 6th avenue in Chelsea and many of those condos going up in the East Village near Astor Place / Cooper Union. When I walk around the area, I notice most of the people coming in & out of the buildings barely look like they are out of college. And yes, those apartments do start at close to 1 million & you need to get approved by the condo board as well as have 20% down.
The VAST MAJORITY of studios are NOT one million dollars. There are exceptions, which you seem to trot out at every conceivable opportunity. Most of those new buildings don't even HAVE studio apartments.
Only coops require a down payment, usually 20% in all boroughs including manhattan, sometimes a bit more in manhattan. The only ones that require all cash are the ones that require a net worth of like 50 million plus, in other words very few.
Single family homes require no down payment if you can secure a mortgage for it. In a hot market a homeowner may require you to put a down payment since it is more likely the deal will be completed and they have choices. Since the market is not that hot anymore most homeowners will do a deal with no downpayment but since the loan finance market is tight a bank might not let you do this....most have eliminated the no money down loan.
Unlike what Nick28 is saying a condo requires no down payment. He is talking about new unbuilt/in-progress condo buildings where a down payment is always required...sometimes a very significant one. This ensures a buyer does not walk away from a deal and gives financing to the contractor to complete the building (very few buildings in nyc are built on speculation like in other parts of the country...a percentage of buyers with down payments are lined up before a shovel hits the ground)
Now a condo has the option to reject you if you do not meet their requirements...but here is the big BUT....the condo association must buy the unit from the owner. Thus, this is extremely rare and only happens in the most exclusive condo buidings. Thus, the most exclusive condo buildings can act as a coop in may ways by rejecting buyers they do not like...although they have a financial consequence (unless they can flip it which is what they did when the market was really hot).
Difference between Co-ops & condos- pricewise? Property taxes? Mortage rates? Down payments? Monthly utility? Any other bills? Pros and cons. My family is interested in purchasing very soon
Coops--down payment can vary, but for pricier bldgs I think it's usually at least 20 percent. Many more coops in NYC than condos, but condos in Manhattan are at least as pricey, if not pricier than coops.
Coops' maintenance charges sometimes/usually? include gas and electric.
With a condo, you literally own your apt. With a coop, you own a share in the corporation.
Outer borough coops are, of course, usually cheaper. Bronx coops are a steal at this point (around 110K and up for a nice one bed). Parkchester, Bronx is condo, I believe, and I don't think utilities are included in the maintenance. Some Riverdale coops are relatively reasonable.
Coop: you have shares in a corporation, which entitles you to a proprietary lease on your apartment. Maintenance usually does NOT cover utilities. Often, however, in both coops and condos, they make deals with cable companies to get better prices on service. Coops can look into your financials, interview you (and your dog!) and can actually have you evicted if you violate house rules. The boards can be GREAT (most of my experience) or hideous (one awful experience). Subletting is usually NOT permitted, but that's nice for the shareholder, because you KNOW who's going to be your neighbor longterm
In a condo you OWN your unit. No checking financials. Subletting permitted, but that's not so great for occupants, because a rock band could be moving in next door. Fewer rules, higher prices, but, IMO, I'd rather be in a coop where everyone actually HAS to keep quiet at certain hours, keep things clean, etc.
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