I live in a coop and we need to renovate our brownstone facade. We don’t have an underlying mortgage, but we need to take out a loan. Has anyone else had to deal with this? What banks did you use, and what experience did you have?
I love living in a four unit coop, but so far we haven’t found a bank that knows how to deal with a small coop. To a bank, we’re just a tiny corporation with almost no income.
Coop Financing for Facade Renovation: read more in the Prospect Heights Message Boards
Friend lives in 3 unit coop and the coop has mortgage with Independence Bank (court/atlantic). Otherwise call around to mortgage borkers.
We’re in almost the same situation, so I’m eager to read the responses. We have a tiny (but high-rate) mortgage from the original sponsor, and we need some work done, so we’d ideally like to take out a line of credit, pay off the existing mortgage, and repoint the brownstone. We could also do it as a new mortgage, but we only want to borrow about $60,000 total. No one will return a call about a $60,000 mortgage, and commercial loan officers don’t deal with little coops (ours is two-family). I’m happy to deal with a mortgage broker if you have any recommendations. Thx!
Hello
I work for Emigrant Funding, a commercial mortgage lender, and we actually specialize in underlying mortgages for small coops with loan amts. from $100K to $5MM(we might even entertain as low as $75K). We’ve originated numerous underlying mortgages on small to medium size cooperatives in Manhattan, Brooklyn and Queens. We have a great deal of experience in dealing with small cooperatives and we can guide you through the process. You can check the website for more information. Please feel free to give me a call at 212-850-4299 or if you prefer e-mail me your loan inquiry and we can work with you.
I live in a small 4 unit co-op in a simliar situaiton. We had a small balance on our existing mortgage and re-financed w/Emmigrant. Be advised that closing costs are pretty expensive w/a refi. In Kings County (Brooklyn) you pay 2% of the value of the loan to the county to record the new mortgage. Such a racket. Additionally, the mortgages we saw from Emmigrant (and we’re happy w/them as a lender BTW) – are all 20 yr term w/30 yr amortaziation. They have stiff prepayment penatlys in the first 4 yrs. FYI. It’d be great if some bank would extend a credit line to a co-op, but I haven’t found one yet that will do it.