I get asked all the time, what’s the difference between a coop and a condo, which is essentially just a form of ownership.
When you own a coop, you own shares in a corporation and you get issued a proprietary lease to occupy your apartment. They’re built typically between the 1970s and 1990s, so they’re older buildings, but they have a lot of character and charm.
You’re not allowed to rent out your coop, typically, except for hardship, because the coops want the community to be less transient, and they want owners to occupy their units. There is board approval, though, which could add two months to a closing process. You have to provide a whole bunch of personal, financial, letters of reference, and go before a committee.
When you buy a condo, condominiums, you own title to your unit, and condominiums are typically built between the 1990s and current day, and they’re amenitized and newer. So they’re about 10 to 20% more valuable than coops generally, and also because you’re allowed to rent out your apartment and use it as an investment. But there is no board approval, but they do have right of first refusal on any sale, really to protect pricing integrity.
Those are the differences between coops and condos. Again, mostly a form of ownership. Hope that was helpful.