Condo or Coop? What's the difference anyway?

By
Real Estate Agent with Prudential Damiano Realty

The North Jersey housing market includes many condominium and cooperative complexes. Due to our affiliation with our condo division

a significant amout of our business is from the condo/coop market. We are often asked...what's the difference between a coop and a condo?

Here are the basic differences in the 2 forms of community living:

Coop

•·        Form of ownership - shares in a corporation that owns the coop complex. A proprietary lease is issued establishing occupancy terms. There is no deed recording or recording of sale information.

•·        Board approval is required. Board may accept or reject any applicant owners or tenants. Application fee may be required.

•·        Monthly maintenance fee covers building and grounds upkeep, your portion of real estate taxes, payment of underlining coop loan(s), and sometimes heat and hot water. 40 - 60 % of these fees may be tax deductible.

•·        Real Estate taxes - included in maintenance.

•·        Financing - Most coops have financing restrictions like minimum down payment and income minimums.

•·        Subletting or renting - generally requires Board approval.

 

Condo

•·        Form of ownership - deed is recorded at the county clerks office. This deed is transferable as is any other house or property. You own the condo.

•·        Board approval is not required in most instances.

•·        Monthly maintenance covers common charges such as building and grounds upkeep and amenity expenses. Generally these fees are not tax deductible.

•·        Real Estate taxes are paid on an individual basis by each condo unit owner.

•·        Financing - the only restrictions are those required by the individuals lender.

•·        Subletting or renting - usually no restrictions.

 

Thinking of a condo or coop of your own? Call your North Jersey Real Estate Team

 Jim Albano and Jean-Marie Vantuno

39 E. Main St.

Little Falls, NJ 07424

973-256-0303

Visit our website: www.yourhomenorthjersey.com

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Topic:
ActiveRain Community
Location:
New Jersey Passaic County Little Falls
Groups:
Realtors®
Prudential Network
Posts to Localism
"Whacked"!!!
We Love North Jersey
Tags:
condos
coop
north jersey condos
north jersey homes
little falls homes

Post a Comment
Spam prevention
Spam prevention
Show All Comments
Rainmaker
177,160
Leander McClain
North East, MD
Cecil & Harford County Realtor

Jim,

Thanks for explaining a topic that many people are confused about.  You are always a great source of information. Keep up the good work

Have a great day

Leander

Dec 21, 2008 03:36 AM #1
Rainmaker
1,257,638
Lorrie Semler, REALTOR® in the Dallas area. Call/text 972-416-3417
United Real Estate - Addison, TX
Real Service. Real Results. Real Estate

While we have lots of condos here in the Dallas area, I can't think of a single co-op.  Thanks for the information.

Dec 21, 2008 04:11 AM #2
Rainer
122,409
Jim Albano
Prudential Damiano Realty - Little Falls, NJ
Team - Jean-Marie Vantuno / Realtors North Jersey Real Estate

Thanks Leander...always great hearing from you!

Lorrie, condos are definitely more prevalent here, but coops are not uncommon.

Dec 21, 2008 04:04 PM #3
Rainer
333,799
Danny Thornton
R & D Art - Knoxville, TN
WordPress Guru

Jim, I am always suprised in the amount of people that do not know the difference in a condo, coop, townhouse, or row house.

Dec 22, 2008 01:33 AM #4
Rainer
122,409
Jim Albano
Prudential Damiano Realty - Little Falls, NJ
Team - Jean-Marie Vantuno / Realtors North Jersey Real Estate

Danny, it's true..most people have no idea.

Dec 22, 2008 05:12 AM #5
Rainmaker
1,116,634
Jim Frimmer
HomeSmart Realty West - San Diego, CA
Realtor & CDPE, Mission Valley specialist

I don't know that we have any coops here in San Diego. At least none that fit your definition. And everything in my farm are condo complexes, all 40 of them.

Best wishes for health, happiness, peace, and prosperity for 2009.

Dec 27, 2008 02:28 PM #6
Rainer
122,409
Jim Albano
Prudential Damiano Realty - Little Falls, NJ
Team - Jean-Marie Vantuno / Realtors North Jersey Real Estate

Jim, Coops are really popular in NYC, but we do have our share here in North Jersey too.

Dec 27, 2008 02:38 PM #7
Post a Comment
Spam prevention
Show All Comments

What's the reason you're reporting this blog entry?

Are you sure you want to report this blog entry as spam?

Rainer
122,409

Jim Albano

Team - Jean-Marie Vantuno / Realtors North Jersey Real Estate
Ask me a question
*
*
*
*
Spam prevention

Additional Information