Purchasing a co-op with cash from owner (Madison: sales, apartments)

[cleasach]

My sister's next door neighbor is looking to sell her apartment and my sister (a renter in the same building) is interested. It's a low price unit ($180k) but perfect for her and everything in the apartment is new from the appliances to the floors. She wants to pay for the apartment in cash and has a very good relationship with several of the board members since she has been living there for some years now.

Does anyone know what the steps are that she should take once they decide move ahead? When we looked at co-ops, we were getting a mortgage and had a buyer's agent so I have no idea how this would work. I have been looking online and can't find anything that pertains to this type of situation.

Thanks for any advice.

[BugsyPal]

All cash transactions for co-ops are not new or unusual. Indeed some of our better "white glove" buildings in Sutton Place, Park, Fifth and Madison Avenues, UES and UWS only allow such sales (no financing allowed).

Also historically studio apartments were also all cash transactions as banks were often reluctant to finance such units.

If seller and your daughter have reached an "agreement' then it is time to bring in the lawyers and start the process rolling with the board.

[BBMW]

If they have a deal, they need to write a contract. Both patries should have lawyers.

When they have the contract signed., the seller needs to get the sale application from the managing agent. The seller needs to collect the necessary information from the buyer, put the application together and submit it to the board.