Law Offices of Steven Smith

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Practice Areas

Real Estate

Condo vs Coop

Knowing the difference between coops and condos is very important for purchasers. The following is a brief list of the similarities and differences between them.
The similarities are:

  • The purchaser of both gets a unit as opposed to a free standing house
  • Both require the payment of maintenance and/or common charges
The differences include:

COOPCONDO

A purchaser of a coop receives stock in a corporation and a proprietary lease which allows the use and occupancy of the unit.

A purchaser of a condo gets a deed to the specific unit being purchased

Real estate taxes are usually included in the maintenance

The owner pays their own real estate taxes which are assessed on the unit

There is usually a formal application process and board interview

There is usually no application and when there is they are much less formal

Maintenance is usually higher for Coops

Maintenance is usually lower for a Condo

Closing costs are usually lower for Coops because there is no title insurance and the purchaser does not have to pay mortgage recording tax

Closing costs are usually higher because the purchaser must buy title insurance and pay the applicable mortgage tax

Our office will guide you through the entire transaction. 
We are always available for questions.

Consultations are Free.

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