How Long Does It Take to Close on a Co-op Apartment in NYC?

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How long does it take to close on a co-op apartment in New York City? We will demystify this topic in the following video. I'm Nick at Hauseit, we are the largest For Sale by Owner and Buyer Agent Commission Rebate company here in New York, established in 2014. Visit us at https://www.hauseit.com to learn about ways to save money when buying and selling real estate in New York City.

So how long does it take to close on a co-op apartment in New York? Well the immediate answer is that it takes around three months from the time that you are in contract.

However, there is a tremendous amount of uncertainty and variability when it comes to this timeline primarily because the specific timeline of each building varies depending on who the managing agent is and who the individual board members are. Furthermore, the timeline can be prolonged or shortened based on the actual season time of year when you submit an application. But as a general rule, around three months is a reasonable assumption for you to make as you plan your life in terms of your current rental and how to move into your new place.

If you've just started your search and you're thinking when will I be able to move into an apartment that I have yet to submit an offer on, a better assumption is perhaps around six months. Figure a few months for your search and around a month to submit an offer, negotiate, work with your attorney on the buyer due diligence and the purchase contract itself and then of course once you're in contract managing that three-month timeline to closing.

The specific components of the timeline of closing for a coop pretty much starts with the signed contract. Now once you have a signed contract the first thing you need to do if your financing is apply for a mortgage. Doing this takes around three weeks or four weeks, you know a lot of it varies on how busy the underwriters are what time of year it is where interest rates are etc. but as a general assumption you'll have around three weeks during which you can begin preparing components of your co-op board application.

The idea being that once you receive the commitment letter from your bank in three to four weeks time, you'll be able to simply just slot that into your co-op board application which is largely complete and submit that immediately, and keep in mind that most contracts purchase contracts will stipulate that as a purchaser you need to submit the board application within some period of time after receiving the commitment letter and usually that's around five days or it could be five business days. Once you submit your co-op board application, it usually takes around four weeks to hear back from the board. The board will usually come back with a request for an interview. Of course, if they're happy with what they see but it is possible that the board could just reject your application outright deny you the opportunity for the interview itself.

Keep in mind that that four week estimate on hearing back from the co-op board is nothing more than an estimate. In some cases we've seen it take 12 weeks and in other cases it's taken a week. It really depends on the type of building, the particular board members, how they operate, who the management is and also whether it's a big or a small building. From the time you complete your interview it usually takes about a week to hear back as to a decision, and thereafter if you're approved figure one to two weeks to close.

So just to recap again, three to four weeks to get your commitment letter then four weeks approximately to hear back from the coop regarding your application, a week or so to coordinate the interview and one to two weeks thereafter to actually close on the apartment. So as a general approximation, three months is usually how long it takes to close on a co-op apartment in New York City from the time you are in contract.

If you are looking to buy a co-op in New York, we'd love to hear from you. You can actually save up to 2% on your purchase by working with a Hauseit affiliated buyer's agent and requesting a Hauseit Buyer Closing Credit. So to learn more about that visit our website: https://www.hauseit.com/hauseit-buyer-closing-credit-nyc/

Save 2% When Buying a Co-op in NYC: https://www.hauseit.com/hauseit-buyer-closing-credit-nyc/
NYC Buyer Closing Cost Calculator: https://www.hauseit.com/closing-cost-calculator-for-buyer-nyc/
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Hauseit LLC, Licensed Real Estate Broker
Tel: (888) 494-8258 | https://www.hauseit.com
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