Delmar Condominiums
2007
Rego Park, Queens, New York
Property Information
Location | Rego Park, Queens, New York |
---|---|
Number of Units | 36 |
Year Converted to Co-op | 1981 |
Year Converted to Condo | 2007 |
Before Conversion as a Co-op
Unit values were stagnant in an otherwise rising real estate market for the past five (5) years.
The Co-op was unable to obtain a 2nd mortgage with favorable rates or terms; the banks required high reserves and onerous prepayment penalties.
As a co-op, some owners were unable to refinance or secure home equity loans since unit values remained low compared to the loan amount they needed.
After Conversion as a Condo
Soon after conversion, units as condominiums are selling at nearly twice (2X) the prices they sold for as co-ops.
Unit owners were able to finance their share of the 1st and 2nd mortgages at very favorable interest rates and NO prepayment penalties.
During the conversion, every owner had the opportunity to finance up to 95% of their unit’s CONDOMINIUM VALUE, allowing them to “cash-out” their new found equity without selling their unit.
Results From the Converstion of 109 Lefferts
Value as a Cooperative (40% Increase) | $138,000 |
---|---|
Add: Obligation (Fees & Closing Costs) | $32,000 |
Total Investment | $170,000 |
Condominium Values after Conversion | $255,000 |
Net Increase in Wealth (Equity) | $85,000 |