Coop Asset Requirements

My firm is selling in Sutton (a 2-BR, 2-BA dining at 430 East 56th) and we do not have any guidance from the board as to what they are looking for, but we have been told that they are "strict".

In absence of ratios, the general guidelines in my head are that we are looking for someone who can keep their housing costs to 20 percent of their income and who has three years of mortgage maintenance payments as liquid reserves post-closing. I feel less concerned with assets, but 2x sounds about right.

So I'd say yes, 2-2.5x is pretty typical for the area.

ali r.
DG Neary Realty

I think most sutton buildings do require 1-3x in liquid assets- most of the buildings 2x and 50% down.

I know 60 SPS only has 30% down requirements and i think their asset requirements are way more reasonable.

36 SPS I'm told requires 40% down and $300k in after closing.

Ive worked with purchasers in the midtown east area who were purchasing coops and typically they put down 30-40%, had 24+ months of post closing reserves, and ratios under 30%. The requirements vary from coop to coop. But I think youre on the good side with the numbers I mentioned in a lot of coops. sunny.hong@bankofamerica.com