macki's Profile
- macki
- 2002
- 2006
- Brooklyn
- Park Slope
- Co-op
- Female
- 31
Author's Posts
July 28, 2008
townhouse to condo
Does anyone have information regarding the process of converting a multi-family Brooklyn townhome (4 floors, 4 one bdrm apts) into 4 condominiums for individual sale? Any information regarding the process would be appreciated. TIA
Author's Comments
Taimur:
It's not that easy. How will you afford to purchase? You need assets and income to get a mortgage. Why would a bank loan you a significant amount of money, especially now that mortgage brokers are being EXTRA careful? How would you even make the mortgage payments? Where will you get the thousands of dollars in closing costs and legal fees?
How will you make the tax payments? Where will you get the money for the remodeling? How will you know who to hire to do the work? How will you know how to facilitate and schedule the process? It's not as easy as calling a plumber and an electrician and buying a new sink!!
It's also a horrible market for sellers right now. How would you even sell a remodeled brownstone when the market is at it's worst and people are having trouble getting mortgages, keeping their jobs, etc? Additionally, are you aware that you will get taxed when you try to sell? There is a "flip tax".
You need to be realistic about what kind of undertaking this is, the gigantic risk and the staggering expense.
The best lesson you can learn is that real estate is a LONG TERM investment. Invest in real estate by buying what you can afford and buying the property you want to live in for many years.
I agree with the others who insinuated that you should stop being so inspired by the flipper-tv shows out there.
Posted by: macki at August 13, 2008 12:43 PM in response to HELP!