White Plains  Co-ops

        Condominium

Deed ownership to unit and undivided interest in common elements. Unit owner may finance and refinance his unit with mortgage. Condominium cannot mortgage common elements. Condominium Board of Managers has right of first refusal to match offer to purchase or lease unit. Most never exercise it. Failure of unit owner to pay common charges increases costs To other unit owners for operating expenses – no risk of foreclosure to other units. Condominium may foreclose on individual unit for failure to pay common charges. Units separately assessed for real estate taxes each unit owner pays his own real estate taxes and mortgage. Each unit owner deducts real estate taxes and mortgage interest paid directly by him. 
 This is a general guide
always consult your Attorney

  Cooperative 
Apartment

 Ownership of stock of corporation owning building with right to lease to a designated unit. Co-operator may finance and refinance his stock ownership and lease with loan secured by pledge of stock and lease as collateral. Called a person loan (many think and call it a mortgage). Failure of co-operator to pay maintenance (rent) increases costs to other unit owners for operating expenses and debt service on underlying mortgage risk of foreclosure on entire building . Entire building assessed as a whole  co-operator’s maintenance used to pay portion of real estate taxes and underlying mortgage. Each co-operator deducts his proportionate share of real estate taxes and interest on underlying mortgage paid as part of his maintenance – also deducts interest on individual cooperative apartment loan paid directly by him.

 This is a general guide
always consult your Attorney
 

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