There are many HDFC (Housing Development Financing Corporation) coops in Harlem. They sell well below market. They offer affordable housing for many New Yorker's.
HDFC coops are city sponsored coops. Many were rental buildings abandoned by landlords in the 70's and 80's. The city sold the buildings to the existing tenants at below market prices with low real estate taxes. In return the new owners refurbished the buildings and maintained it's affordability. Many HDFC coops have income restrictions and flip taxes.
HDFC coops are considered a form of "limited equity" home ownership. They are sold at approximately 40% -60% below market value. The maintenance is also below market but when you sell, a portion of your profit goes back to the HDFC coop hence "flip tax."
HDFC coops are usually listed with real estate brokers rather than through lotteries. Other affordable programs such as Mitchell Lama coops use lotteries. Today Mitchell Lama coops are rare and typically have 15 year waiting lists via lotteries. Mitchell Lama buildings were built in the 70's. Developers were given tax incentives to keep them affordable for 30 years. Many buildings in the Mitchell Lama program have recently privatized because the 30 years expired and are now selling for market rates.
There is also an 80/20 program in new developments. 20% affordable units, 80% luxury apartments. The 20% are by lottery via advertisements and NYC.gov website.
FHA does not give loans in coops. Coops including HDFC coops usually require a minimum down payment of 10%-20%, coops have restrictive covenants such as flip tax and board approval, FHA does not loan in buildings with restrictive covenants. Real estate is local.
Mitchell Hall, Associate Broker
The Corcoran Group
It is a lovely building and the A train is fast. The local police station, however, advised me not to ever walk there alone after dark, which is early in winter! It is 2 blocks from one project and about 7 from another and there are 5 in the precinct. The police warned against many robberies on Bradhurst from gangs of young kids. Very high crime rate in the area.
It is unfortunate as the area is pretty. A woman walking alone along the park once it is dark, I don't think is a good idea.
Great investment but will you ever leave your apt???????/... more
I have been here for 5 years and have never had any problems. It is great neighborhood, quiet and convenient. Of course there are not as many stores or restaurant choices as downtown, I say give it a few years and this area will be full of new venues.... more