what is a co-op residence and what are their restrictions?

  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 04 2013 - Reno
We think we've answered this question for you!
  • Be a Good Neighbor. Be respectful and on-topic. No spam or self-promotion! See our Good Neighbor Policy.
 
 

Answers (1)

 In a coop, you do not own your unit. Rather, you own shares in a corporation that owns the building(s) and the ownership of those shares entitles you to live in the unit.  This is a huge oversimplification but I hope it gives you the idea.  Each coop has its own documents that describe the rights and obligations of the owners/residents.  Typically the coop board must approve new purchasers (although they can't discriminate on the basis of a protected characteristic such as race). Typically there are limitations on renting out a unit, sometimes a total prohibition.  Coops usually have an underlying mortgage, which means the coop fee typically will be much higher than a condo fee of a comparable building that is a condominium, because part of the monthly fee is paying off the mortgage on the building(s).  Also, real estate taxes are included in the coop fee because the units do not get separate tax bills.  Some banks and mortgage companies do not make loans for coop unit purchases. Real estate agents in a community usually know which lenders make loans on coop units.  Interest rates may be higher.  You may need to make a larger down payment.  Despite all of the above, coops can be priced sufficiently below condos that the monthly total expense is lower than a similar building that is a condo, if you can abide by the typically stricter rules and regulations. In some jurisdictions, closing costs on purchases and sales are lower on a coop than a condo because it is not technically a real estate transaction.  If this post is helpful please click on the thumbs-up below.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
November 04 2013
 
Related Questions
how do I get a value
Profile picture for Betsy Jarrett
Latest answer by Betsy Jarrett
April 05 | 1 answers
I had a very bad experience with Reno Realtor Raymond Solorzano where do I file a complaint?
Profile picture for Paul Knott
Latest answer by Paul Knott
March 27 | 4 answers
A friend is buying a shortsale home and they put in an offer to the bank that was accepted.
Profile picture for Justin Leffew
Latest answer by Justin Leffew
January 07 | 5 answers
What criteria do you use to determine you're estimated value of the house?
Profile picture for Tommy Lowery
Latest answer by Tommy Lowery
January 02 | 2 answers
what is a co-op residence and what are their restrictions?
Profile picture for Chas Carron
Latest answer by Chas Carron
November 04 2013 | 1 answers
Mortgage Rates
 
Be A Good Neighbor

Zillow Advice depends on each member to keep it a safe, fun, and positive place. If you see abuse, flag it. More on our Good Neighbor Policy.

Homes for Sale
  1. 12185 Cunningham Way, Reno, NV Home For Sale
    12185 Cunningham Way, Reno, NV 89506

     For Sale: $199,900

    • Beds: 4
    • Sqft: 2250
    • Baths: 2.0
    • Lot: 50094
  2. 619 I St, Sparks, NV Home For Sale
    619 I St, Sparks, NV 89431

     For Sale: $94,000

    • Beds: 2
    • Sqft: 987
    • Baths: 1.0
    • Lot: 7057
  3. 10749 Grayslake Dr, Reno, NV Home For Sale
    10749 Grayslake Dr, Reno, NV 89521

     For Sale: $275,000

    • Beds: 3
    • Sqft: 1827
    • Baths: 3.0
    • Lot: 4791