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Buying or Selling a Home/condos vs. co-op ownership
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Question
Hi, I would like to know which is more valuable in terms of ownership and possibly cleaning up bad financial credit.
Hi TANYA--
As so many folks aren't truly aware of the dfferences between Condos and Co-Op's,I'm going to start this way:
CONDIMINIUM:
(1)a form of ownership of seperate units or portions of multi-unit buildings that provide for formal filing & recording of a divided interest in real property.
(2) a multi-unit structure or property in wich persons hold FEE SIMPLE TITLE/DEED to individul living units and an undivided interest in commnon areas.Condo units are considered Real Estate entities and may be mortgaged. OCCUPANTS ARE ACTUAL OWNERS!
COOPERATIVE:
(1) a form of "ownersip" in whch each owner of common stock in a cooperative apartment building or housing corporation receives a PROPRIETORY LEASE( notice "Lease" NOT "Deed!") on a specific apartment in a co-op apartment building or a building owned by the housing corporation.Living units in a Co-Op are NOT considered Real Estate but are classified as PERSONAL PROPERTY and CANNOT be mortgaged. OCCUPANTS ARE ACTUALLY RENTERS!
So...in terms of ownership, of course the Condo would (as a Real Estate entity)be "more valuable" than the Co-op (classified as Personal Property, like a car, boat, or travel trailer, etc.)
For "cleaning up bad financial credit," you'll need to work hard for a year or two,getting your Credit Report "cleaned up," by showing no "late pays", no "maxed out" credit cards,your Credit Scores up into the 600 to 750s, no liens or judgements, etc.
I suggest you visit a Local HUD-Certified Housing Counselor to get help with getting ready for a Mortgage Loan.Or talk to a local Bankrupcy Lawyer--maybe a Chapter 3 (Wage Earner Plan) would help yu get a Mortgage Loan in 2 years!
Go to the HUD/FHA Websites to find the closest FREE Housing Couneling Agency!
www.hud.gov OR www.fha.gov
GOOD LUCK!
--JIM
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Jim Root
Expertise
How to select the right Real Estate Salesperson & Loan Officer--ones who will serve your best interests! House-hunting tips & suggestions on selection of the home best for your family needs. Introduction to the Home Buying Process & all the "Players" involved.What is of utmost important to the Homebuyer? Real Estate Contracts & Negotiations, Appraisal needs, Title Co. involvement, Home Inspection issues& the Closing/Escrow systems, etc. Whatever your question, the answer will follow, whether from personal knowledge or research! Gale, shown here with me, has been a Real Estate Office Administrator, licensed Realtor & has served as my Research Assistant over the years!
Experience
Over 30 years as a "Real Estate Professional." including Real Estate Marketing & Sales, Appraisal work, Mortgage Banking & as a Realty Officer with U.S Dept. of HUD's FHA Homeownership Division in Alaska, Washington & Idaho! Some experience in Montana, California, Utah & Nevada markets!Knowledge of National Markets by continuous Research!
Organizations
Former member of Nat'l Ass'n of Realtors (NAR) & Mortgage Bankers Ass'n of America (MBAA). Currently with National Association of Review Appraisers & Mortgage Underwriters (NARA/MU).
Publications
Published in various local, state, regional & national Real Estate-related magazines & newsletters!Co-author of various Govt. publications on Homeownership, Appraisals & Mortgages while with HUD/FHA.
Education/Credentials
Associate Degree in Real Estate Studies plus:
Numerous Real Estate-related Courses conducted by the U. S. Government & Private Industry over the past 30 years.
Bachelors Degree in Mass Communications,
Masters Degree in Education/Teaching
Awards and Honors
Professional Designations: Certified Residential Originator (CRO) from MBAA, Registered Mortgage Underwiter (RMU) & Certified Review Appraiser (CRA) from NARA/MU. Outstanding Peformance Awards for 10 of the 12 years with HUD/FHA & numerous Sales/Listing Awards while a licensed Real Estate Agent.
Past/Present Clients
No longer selling/listing Real Estate, nor Appraising properties, nor working in the Mortgage business, this "Real Estate Pro" serves as Director of a Company that provides Professional Development Seminars & Workshops to the "Real Estate Industry" and provides free (as needed) & fee-paid (on a sliding scale) consulting & inspection services to members of the general public.Your questions will be answered without "salesmanship" & with your best interests in mind!
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