Buying an apartment in New York City isn’t just about finding the right kitchen or view — it’s also about navigating the city’s famously complex housing landscape. One of the first questions buyers face: co-op or condo? And once you’ve decided, how long will closing take? What’s with all the board approvals? Here's a quick breakdown of the key differences — and how to prepare.
1. Co-op vs. Condo: What’s the Real Difference?
At a glance, co-ops and condos may seem similar — but legally and financially, they’re very different.
In a co-op, you’re not buying real estate itself, but rather shares in a corporation that owns the building. You get a proprietary lease to live in your unit. Co-ops often have lower purchase prices and monthly costs, but they come with a more involved approval process, stricter rules, and more limited flexibility around renting or financing.
In contrast, a condo offers true real estate ownership. You get a deed to the property, which means more freedom — but that freedom comes at a premium. Condos are generally more expensive upfront, and monthly carrying costs tend to be higher, too. For many buyers (especially investors, international buyers, or anyone seeking a pied-à-terre), that flexibility makes the extra cost worth it.
2. Why Are Co-op Boards So Tough — and What Gets You Rejected?
Co-op boards are famously picky, and for good reason: they’re vetting not just your financials, but your lifestyle and long-term fit within the building’s culture.
They may reject buyers for reasons that go far beyond income or credit score. Limited liquidity, high debt-to-income ratio, or plans to sublet can all raise red flags. Even highly qualified buyers may get declined — and boards don’t have to disclose why. In short: buying in a co-op means you’re joining a community, and the board is very selective about who gets in.
3. How Long Does It Take to Close in NYC?
Closing timelines depend largely on what type of apartment you’re buying.
Condos are typically faster: expect 30 to 60 days from signed contract to closing. There’s no board interview, and the approval process is largely administrative.
Co-ops can take longer — usually 60 to 90 days or more — due to the board package, interview process, and required approvals. If you're on a deadline (or just value speed and certainty), a condo or sponsor unit may be the better route.
The best choice depends on your priorities. Looking for value and community? A co-op might be ideal. Prefer flexibility and faster timelines? A condo may be worth the premium. Either way, understanding the nuances — and working with an agent who knows the terrain — is key.
Feel free to give us a call — we’re here to guide you through the process, answer your questions, and help you find the right fit.
