- 1). Work with a Realtor who has experience in co-op buying. He can assist you with finding properties with good histories, and he knows how to guide you through the approval process.
- 2). Hire a real estate attorney who is familiar with co-ops. You may need an accountant, since the co-op board has the right to request proof that you are financially stable.
- 3). Read carefully the co-op's Covenants, Conditions and Restrictions, also known as CC&Rs. Can you sublet your apartment? What about pets? What types of repairs does your CC&R cover? Have your attorney review the document, and don't hesitate to ask questions. Each state has a law stating how many days you have to study the CC&R. Make sure the document contains information on the co-op's bylaws and a current financial statement.
- 4). Prepare to come clean about your own financial picture. The co-op board has the right to ask for your recent tax returns, investment statements, salary information, a credit report and even a background check. You have to show you are responsible and can pay maintenance fees and taxes, as well as afford the mortgage.
- 5). Check out the zoning around the co-op. If it surrounded by other apartments buildings or condos, or if the close buildings are reputable business sites, you're probably OK. But if there is a lot of empty land or buildings in the neighborhood, read zoning laws and inquire about future developments. Sketchy neighbors can bring down the value of your new home.
- 6). Realize the co-op board makes the final decision about whether you get the property or not. By law, the board cannot discriminate against you; however, it is not required to explain a rejection.
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