Condo vs Coop in White Plains NY (Yonkers, Mount Vernon: apartments, rental)

[ambarstone]

Originally Posted by EdJones

You are correct. I started looking at condos because people kept telling me they were selling for about the same price.

That's not the case at all. I remember I found three different 2bdr. coops between $165-200K, whereas a 2bdr condo in the same area would sell for $230-300K. So that was a difference of way over a $100K, which is a big chunk of money at the time of getting a mortage.

On top of that, closing costs and taxes for a condo seemed to be higher. All of those things discouraged me of trying to find a condo I could afford. But again, I was just trying to stay faithful to my budget.

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It all depends where you are looking Ed! If you are looking in Yonkers or Mount Vernon, yes, in those places co-ops are much cheaper. I searched using the Houlihan Lawrence site and I came across with a whole bunch of little places starting at 450 to 800sf from 50K (in Mount Vernon) to 125 in MV and Yonkers. Non of these were suitable for a family with school age children and I would personally never consider to live in any of them. Co-ops just went down a little, the least expensive two bedroom in the White Plains school district is 212,000. There is a very fancy co-op called Surrey Strathmore (in WP) that has been selling for over 300K plus over a $1000 for maintenance. I compared that to a 2 bed condo in Greenburgh-the Grenada Crescent, which has two beds in the same price range (but is in a bad school district). So I still think "some" co-ops are selling like "some" condos. When prices go down some more, co-ops will definitely be the most affordable alternative but they will always have many strings attached.

Here is my new year resolution: Not hating co-ops any more. I will have to live somewhere!

Happy New Year!

[bxlefty23]

ambar i also didnt mention i dont have kids am single and would only need a studio or 1 br

[EdJones]

Originally Posted by ambar371

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It all depends where you are looking Ed! If you are looking in Yonkers or Mount Vernon, yes, in those places co-ops are much cheaper. I searched using the Houlihan Lawrence site and I came across with a whole bunch of little places starting at 450 to 800sf from 50K (in Mount Vernon) to 125 in MV and Yonkers. Non of these were suitable for a family with school age children and I would personally never consider to live in any of them. Co-ops just went down a little, the least expensive two bedroom in the White Plains school district is 212,000. There is a very fancy co-op called Surrey Strathmore (in WP) that has been selling for over 300K plus over a $1000 for maintenance. I compared that to a 2 bed condo in Greenburgh-the Grenada Crescent, which has two beds in the same price range (but is in a bad school district). So I still think "some" co-ops are selling like "some" condos. When prices go down some more, co-ops will definitely be the most affordable alternative but they will always have many strings attached.

Here is my new year resolution: Not hating co-ops any more. I will have to live somewhere!

Happy New Year!

Very good points. The one we are trying to buy is a 2bdr, sells for $180K and some change. This is a garden style complex in which all buildings have two stories only. Maintenance fee is $650 a month. So i think the price all-together is OK but not fenomenal. However, considering the prices of a 2bdr condo would be over $300K for the same space, I think it is OK.

[BK2Westchester]

Originally Posted by EdJones

Very good points. The one we are trying to buy is a 2bdr, sells for $180K and some change. This is a garden style complex in which all buildings have two stories only. Maintenance fee is $650 a month. So i think the price all-together is OK but not fenomenal. However, considering the prices of a 2bdr condo would be over $300K for the same space, I think it is OK.

Ed- What areas were you looking in?

How is the process coming along for you now?

[EdJones]

Originally Posted by BK2Westchester

Ed- What areas were you looking in?

How is the process coming along for you now?

Bryn Mawr Park area and around. They have many coops that are very nice in that area.

The process has been frustrating for the reasons mentioned above. But for me renting is getting too old since I've have thrown thousands of dollars in the trash in the past.

The coop complex seems nice and the area is nice too, that's why I haven't given up yet. However, if the deal doesn't go through, I will probably quit for now and continue renting for a few more years.

[ambarstone]

Originally Posted by bxlefty23

ambar i also didnt mention i dont have kids am single and would only need a studio or 1 br

__________
Hi Bxlefty23,
I think your situation makes it easier to find a nice, well priced co-op or anything else you want. Once you have kids in tow, things do change!

[bxlefty23]

yes kids would change things but i dont plan on having any for a while
id be much better off buying a coop instead of hemmoraging rent, even if i had to sell it when i had kids

[EdJones]

Originally Posted by bxlefty23

yes kids would change things but i dont plan on having any for a while
id be much better off buying a coop instead of hemmoraging rent, even if i had to sell it when i had kids

That's the way I see it too. I don't have kids yet, so I'm kinda on a similar situation.

I know many people rent because that's what suits their lives the best. But when you look at the past and calculate how much money you have paid in rent...it is just sad.

My question still is: would buying a coop (with all the headaches involved) be better than renting?

I guess only time will tell.....

[bxlefty23]

it depends
ive seen places with 700 dollars a month in maintainance
for 700 dollars a month they can blow me
But a coop that costs 100k with a 350 dollar a month maintance is cheaper than renting right off the bat, your martgagae payment will stay the same (maintaince will go up but it should be at a reasonable rate) and you get the tax wrtiteoff.
The standard deduction is 5300, and the mortgage on such a loan might only be 6kish a year, but then you can also right off property tax, state income or sales tax and I know personally I could write off 2-3k more worth off stuff that i dont write off now because right now the SD is higher than this 2-3k.
SO i could save another 100-150 a month in taxes.


Even if your prperty appreciates at a conservative rate, your only paying 6% interest or so, so if you live there for 10 years I figure worst case you get all the money you paid back in principle plus interest so you basically lived for just the maintance fees. It is far more likely that the proprty goes up at even a higher rate than the interest you are paying.

Renting makes sense if you wanna move around a lot, are unsure where you want to live etc, but once you know where you want to live and have the down payment even a coop makes more sense.

[EdJones]

Originally Posted by bxlefty23

it depends
ive seen places with 700 dollars a month in maintainance
for 700 dollars a month they can blow me
But a coop that costs 100k with a 350 dollar a month maintance is cheaper than renting right off the bat, your martgagae payment will stay the same (maintaince will go up but it should be at a reasonable rate) and you get the tax wrtiteoff.
The standard deduction is 5300, and the mortgage on such a loan might only be 6kish a year, but then you can also right off property tax, state income or sales tax and I know personally I could write off 2-3k more worth off stuff that i dont write off now because right now the SD is higher than this 2-3k.
SO i could save another 100-150 a month in taxes.


Even if your prperty appreciates at a conservative rate, your only paying 6% interest or so, so if you live there for 10 years I figure worst case you get all the money you paid back in principle plus interest so you basically lived for just the maintance fees. It is far more likely that the proprty goes up at even a higher rate than the interest you are paying.

Renting makes sense if you wanna move around a lot, are unsure where you want to live etc, but once you know where you want to live and have the down payment even a coop makes more sense.

You have very good points. The maint. fee I am expecting to pay is $650, but that's for a 2bdr unit. I guess they dobled the fees because of that. Now, my understanding is that you can use that towards your tax deductions as well.

I am very much looking at taking a tax break by buying a coop. All these years renting and then the goverment hitting me hard with taxes, seriously, it hurts financially.