CO-OP FLORIDA MORTGAGE LENDERS
Florida Coop questionnaire must be completed along with a cover letter that is sent to the Florida coop Management Company that states what we require:
1. 2 Years Corporate Financial Statements
2. Completed and Signed Cooperative Project Information Form.
3. Copy of Master Insurance Policy (all risk Policy) including hazard, liability, and fidelity bond insurance
4. Copy of Current Florida Coop Operating Budget
In addition to the above, a Florida Proprietary Lease is required and Rent Loss Insurance is required if fewer than 70% of the Co Op units have been sold to owner occupants.
- NOTE LTV = LOAN TO VALUE
- 75% LTV = 25% DOWNPAYMENT
- 80% LTV =20% DOWNPAYMENT
CO-OP FLORIDA MORTGAGE LENDERS
Florida Co-op Mortgage Lenders are an experienced Florida coop mortgage lender offering a wide variety of coop mortgage financing for purchasing or refinancing a Florida Coop. Since there is often little uniformity among Florida co-op units, Florida Co Op Mortgage Lenders maintain a database with the special requirements within each approved Florida coop’s to facilitate faster coop mortgage closings.
Florida Mortgage Lenders is a Fannie Mae approved Florida mortgage lenders of Florida coop mortgage loans. Florida Mortgage Lenders.com also provides portfolio financing for borrowers and offers flexible coop financing in those communities that have unusual conditions including land leases, blanket mortgages and non-standard Florida coop documentation.
FLORIDA-MORTGAGE-LENDERS.COM PROVIDES COOP REFINANCING
For Coop loan approval within a Florida cooperative community not previously reviewed, we will need a completed Coop Questionnaire .
FLORIDA MORTGAGE FOR A CO-OPERATIVE HIGHLIGHTS
• For purchase or refinance
• Primary, Vacation or Investment
• Free review of coop documents to determine project eligibility for mortgages
• Creative cures for co-operative document defects
• Land and Recreation leases allowed
• Non-Stock Co-op mortgage loans allowed
• Non-Leasehold Coop mortgage loans allowed
• Blanket coop mortgages may be allowed
• Long term loans may be available
• Low down payment may be available
• Manufactured Housing in coop communities considered
Why Use Florida Mortgage Lenders For your Co-op Mortgage?
A traditional Florida house (or a condo unit) has a deed, which is signed to a lender when a home buyer secures a Florida mortgage for a property. Co-ops are a little different. In the case of a co-op, each individual unit does not have a deed; there is only one deed for the entire building. A Florida co-op mortgage is actually a “share loan,” that is, a loan that enables the buyer to purchase their share in the co-op. This difference makes securing a loan for a co-op a little more difficult than a getting a traditional Florida mortgage because they are offered by fewer Florida mortgage lenders.
What is a Co-Op?
Florida coops are housing within a corporation, which owns a piece of real estate (generally an apartment building). Someone who wishes to live in the Florida Coop building would purchase a share of the corporation, which grants the cooperative buyer a proprietary lease on a specific unit in the building. Shareholders or the unit owners within a cooperative building are responsible for maintenance fees that go toward the upkeep of the building, property taxes, etc. The common areas such as hallways, recreation and parking areas are owned jointly by the co-op’s shareholders.
Florida coop homebuyers that which to buy into a co-op must be approved by the board or shareholders. The approval process can be extensive, and may require interviews, character references, and employment and financial verification, and credit history. Co-op boards may refuse a prospective buyers application to purchase within the building for any lawful reason.
How is a Co-Op Different Then a Florida Condo loans?
In a condominium complex, the residents a specific units, they own the surface of the interior walls of the unit contained within. Someone who owns a Florida condo owns a piece of real estate. In contrast to a co-op, residents within a coop own a share of the co-op corporation which entitles the owner to a proprietary lease for a specific coop unit. This share is considered personal property rather than real estate.
Another big difference is that co-op shareholders do not have the right of alienation, which means they cannot sell their share/unit without permission of the co-op board. Some condo associations may have the right of first refusal, which means they can stop the sale of a unit so long as they match the prospective buyer’s price. Co-op boards can simply deny a coop sale without matching the sale price.
Finally, there could be additional restrictions on unit renovation/alteration in a co-op as compared to a condo. This varies depending upon a given co-op’s by-laws.