While buyers rather than renters are the minority in Manhattan, the majority of those who choose to buy do so using a coop mortgage. Coops are the most popular ownership option chosen in the city since space is limited and condos run a close second.
For anyone new to city living the pricing of homes will be as big a change as the style of housing that is available. Different rules govern getting a coop mortgage in Manhattan than those of a typical single family home purchase. For instance, a Manhattan Mortgage Company may recommend a coop where several owners buy apartments in a shared building and form an association to maintain the premises and put rules in place.
Each owner of a unit in the building is expected to pay dues and do their share to keep the building running smoothly and resolve any inter-tenant issues fairly. Getting a mortgage on a coop would be best done through our services at MortgageDepot, especially for anyone new to the area. The rules of lending for a coop include documentation as to how many owner occupied units there are and how many are rented out or vacant.
The commercial space available may also be a determining factor along with how solvent the association in charge of the building is. What is done at our company is we will inform the potential home buyer as to what is needed to apply for a coop mortgage in Manhattan and assist them in every step of the process. This makes the lending experience much easier on the buyer and gets them the mortgage they can afford on the building that is right for them.
Get in touch with one of our loan consultants for more information