Most coops have even more stringent financial requirements than lenders so don't assume that a loan commitment from a lender will necessarily approve you for a coop purchase. A Co-op board will require complete financial disclosure. They will look into your financial history, current and past income, assets, liabilities and references when evaluating your board package.
- 1. 25-30% Income to debt ratio. Housing costs should not be more than 25% -30% of income depending on the particular coop.
- 2. At least 1 years worth of mortgage + maintenance in liquid assets or two years of maintenance after closing costs
- 3. Increase in salary from previous year, potential future earning.
Tips to Help Pass A coop Board Interview