What’s it like investing in co-ops -
A relative of mine is not doing well, physically, and may pass away.
My family is not up to the task of taking any interest in his co op.
It is in need of a major update. I could do the work myself easily. I just don’t know the little ins and outs of co ops. I don’ tthink there is much of an investment market for them. How do they sell?
Co-Ops are tough. many people do not know how to handle them unless they live in NY where there are tons of co-ops. Co-ops have benifits like you do not pay taxes personally and many have maintance included on them as well. When you buy a co-op your not buying the unit, your buying shares of the community. Now many co-ops will put a min. you can sell your shares for so buying undervalue is tough at times.
Ex. My mother has a co-op in NY and wants to sell and move to FL. She bought it for 54K and the co-op says min sale price is $259K, but she just wants to get rid of it for about 225K since it needs updating, etc. and she only owes $30K. She made her money after 4yrs of ownership and wants out fast but they will not allow it…
Many rules to follow…
I recommend staying clear of them for investments.
This is a co op owned by a dying relative. It is in need of MAJOR REPAIRS.
I don’t know the particulars of co-op investing. It has a water view.
I’ll be getting more information this week.