Hi All,

I am about to put down my downpayment on a rather new condo in Downtown Brooklyn. I decided to have my lawyer request the financials from the Sponsor's lawyer. The balance sheet is showing negative surplus of around $100K (the total assets are valued around 900K).

I then went on to the income statements and the net income for 2008 is almost break-even at -35K. While the number may seem high on an absolute basis, percentage wise, it is only deficient by about 2%.

But I am still worried. I know this is a rather new building, but are negative surpluses common for condo's? I know it is very possible for Coops to have negative equity, or surplus.

Any input would be immensely appreciated.

Thanks!!

I am about to put down my downpayment on a rather new condo in Downtown Brooklyn.

Bigger question is what your lawyer reccomended to you and how the sponsor/managing agent is explaining this.

The lawyer told me that he can't really recommend anything. So I am almost on my own here. Which condo are you looking at, may I ask?

Sounds like a lawyer I would not want to have. You need to get a comfort level that the building is operating within budget and has a reasonable reserve fund. There are many on-line resources, but if it does not sound good, go else where and with a different lawyer.

cry eye - you've posted, what, 4x on the same unit?