I was supposed to sign the contract for a co-op just yesterday, but after reviewing the financials of the building I decided to take a couple of extra days to make a decision. I would really appreciate the advice of someone here with more experience than me. <\/p>\n
The building has 35 units, of which 12 are sold and the rest are rent stabilized units. (I only found out about it yesterday. The broker assured me that 75% of units were sold… when in fact less than half actually are). The deal needs to be all cash, the building has almost no reserve, and a wrap-mortgage payable for $1,250,000 (and to be honest, I don’t even know what that means). I have the financial statement of the building here with me. The statement indicates that the building’s income for 2005 was $188,653 and the operating expenses were $236,088. Although I’m no expert, I can tell something is not right. My maintenance right now would be $440 but it is increasing to $580 from January.<\/p>\n
Now the good side… the building is exactly in the location I desire, the apartment is big, has original details, large kitchen, sunny exposure, and it costs a lot less than other apartments in the same area. I love love love the apartment and the price is a steal. But I’m very afraid of making a big mistake and perhpas ending up with an apartment that I won’t be able to sell in a few years unless a buyer is willing to pay cash too. I’m also afraid because of the lack of reserve and the building’s underlying mortgage.<\/p>\n %<\/span><\/span> | %<\/span><\/a> ","protected":false},"excerpt":{"rendered":" I was supposed to sign the contract for a co-op just yesterday, but after reviewing the financials of the building I decided to take a couple of extra days to make a decision. I would really appreciate the advice of someone here with more experience than me. The building has 35 units, of which 12…<\/p>\n","protected":false},"author":3147,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"schneps_byline":"","schneps_post_style":"","schneps_post_source":"","schneps_syndicated_read_more":"","schneps_post_source_sitename":"","schneps_syndicated_thumb_html":"","schneps_syndicated_thumb_src":"","schneps_post_source_shortname":"","schneps_post_source_url":"","schneps_post_source_id":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[104],"tags":[],"districts":[],"class_list":["post-17409","post","type-post","status-publish","format-standard","hentry","category-real_estate"],"acf":[],"parsely":{"version":"1.1.0","canonical_url":"https:\/\/brownstoner.com\/forum-archive\/2007\/11\/i-could-really\/","smart_links":{"inbound":0,"outbound":0},"traffic_boost_suggestions_count":0,"meta":{"@context":"https:\/\/schema.org","@type":"NewsArticle","headline":"I could really use your advice","url":"http:\/\/www.brownstoner.com\/forum-archive\/2007\/11\/i-could-really\/","mainEntityOfPage":{"@type":"WebPage","@id":"http:\/\/www.brownstoner.com\/forum-archive\/2007\/11\/i-could-really\/"},"thumbnailUrl":"","image":{"@type":"ImageObject","url":""},"articleSection":"Real Estate","author":[{"@type":"Person","name":"MissWinter"}],"creator":["MissWinter"],"publisher":{"@type":"Organization","name":"Forum Archive","logo":""},"keywords":[],"dateCreated":"2007-11-17T22:22:57Z","datePublished":"2007-11-17T22:22:57Z","dateModified":"2008-07-28T16:27:45Z"},"rendered":"