Small co-op, if we want to start charging people for renting their apartments
hi, I know some buildings charge a small fee if you rent out your apartment- how do they calculate that? Thank you in advance
hi,
I know some buildings charge a small fee if you rent out your apartment- how do they calculate that?
Thank you in advance
Are you sure you wanna go there at all? Some banks look at the percentage of owner-occupied apts when granting financing. If you have only 4 apts (for example) and one is a rental, you only have 75% owner-occupied. What happens when the second guy wants to rent? Then you are 50% owner-occupied. But you can’t turn them down cuz you have to treat all shareholders alike. Especially where every apt is the super for a month, who is super when it’s the renter’s turn? Let investors buy condos, coops should be owner-occupied.
IMO you’re better off in a small building with a no-renter policy.
To answer your question, many coops impose a up-front fee, like $250 or more, and some may charge a percentage of the rent, like 10%
There is a free newspaper called the cooperator that deals in all things coop and condo.
You can subscribe free of charge or you can look them up on the internet.
They are a very valuable resource for the industry.
Start there.
My original post got chopped up:
Hi,
It is a really small, self- managed co-op. We are trying to make everything equal. Usually, one apartment is the super for the month. Some apartments have tenants, instead of being owner occupied. I know a lot of co-ops charge to keep the units owner occupied. We are trying to find an equitable way of doing this. How much do co-ops usually charge for not living there?
Thanks,