Standard co-ops on Staten Island

Which co-op buildings of this kind are actually in Staten Island?

• A limited number of co-op complexes, concentrated on the North Shore around St. George, Stapleton and Grymes Hill
• Several mid-century garden-style groups elsewhere on the island that transfer as shares rather than by deed
• Almost no pre-war elevator co-op stock of the kind that dominates Manhattan and parts of Brooklyn
• A housing market where the surrounding comparables are detached, semi-detached and attached houses rather than apartments

What do board approval and financing look like in Staten Island?

• Appraisers have few recent co-op share sales to work from on the island, so a valuation may lean on sales that are older or further away than a purchaser expects
• Fewer lenders write Staten Island co-op share loans than write them in Manhattan or Queens, so the loan search starts earlier and the lender pool is part of the diligence
• Boards are generally smaller and less formal, which speeds a package but also means requirements are conveyed informally and should be confirmed in writing
• The narrow resale pool is a lending consideration as well as a purchaser consideration, because it affects how a lender views the collateral

Which taxes and recording steps apply in Staten Island?

• No mortgage recording tax and no recorded purchase instrument, the same as any co-op anywhere in the city
• New York State transfer tax and the New York City real property transfer tax apply to the share transfer
• The mansion tax is reached on very few Staten Island co-op sales given the borough’s price distribution
• Judgment and lien searches run against Richmond County records, and Staten Island real property instruments are filed with the Richmond County Clerk rather than the City Register, which matters on a co-op as well, because the share loan’s UCC-1 is filed and searched at the county clerk rather than in ACRIS

What pattern does a purchaser meet in Staten Island?

• A purchaser comparing a co-op against a house on Staten Island is comparing maintenance and board approval against taxes, upkeep and full control, which is a different trade than the one a Manhattan purchaser makes
• North Shore complexes near the waterfront should be checked for flood zone status, because the corporation’s flood coverage feeds directly into maintenance
• Where a complex is small, one delinquent shareholder is a material share of the budget, so arrears figures matter more than the reserve percentage
• Resale timelines run longer than in the co-op-dense boroughs simply because the buyer pool for shares on the island is smaller

What else should you read before closing on one of these?