Financing, while not handled by most conventional lenders, is available in many established stock cooperative developments. Typically, even if a buyer is paying cash, they still have to be creditworthy to pass vetting by the corporation board members.
One notable Stock Cooperative in my area of Los Angeles county is Malibou Lake Mountain Club. Malibou Lake has a rich history of Hollywood film production, and has a thriving business as a wedding (and other parties) venue.
FINANCING IS AVAILABLE FOR CO-OP PURCHASES IN LAGUNA WOODS VILLAGE.
Call Vera 949. 510-0929 or Marie 949. 929-6834 with questions. SELLING in Laguna Woods Village for 15+ years!
Biggest mistake I ever made. Albeit the $3 to $5k shares I purchased allowed me a very affordable entry into some pretty nice MH communities it was a big step backwards. Why and How? Because, in Florida anyway, what you pay for a share you have to sell tor the same amount when you go to sell your MH.
So I spend $5k for a share, install a brand new home for $50k and hold it for five years as a rental. Then when I sell it my share goes along with it for the original $5k adjusted downward for inflation I've actually lost money on my share. Dah!
Add to that there is absolutely no leverage-ability with this type of investment inasmuch as you cannot borrow against it i.e. a 2nd mortgage. You're basically held hostage to your Co Op until you sell it. If you can't make a profit on your option, which is the faux equivalent to fee simple deeded ownership, then your're left with a slowly depreciating asset in much the same way as you would be if you were merely renting a space in a MH park.
I've been an investor and developer in manufactured housing for over 20 years and have never lost money on a MH investment. Luckily I escaped from Florida with a very modest profit albeit a profit. This is by far the worst scenario you could ever get involved with whether an investor or an owner/occupier. Just my humble opinion.
A housing co-op is people who together own or control the building(s) in which they live, instead of buying "real" property, you buy stock, or a membership, and in the case of Laguna Woods Village, in a cooperative Nonprofit Mutual Benefit Corporation. This corporation owns the building, land and in some cases any common areas. The corporation also carries a blanket insurance policy that covers damage to the cooperative property from hazards such as fire or water. Additional homeowner's insurance is recommended for all members to cover personal contents inside individual units. Listed below is the monthly association fee for a Laguna Woods Village coop and what it covers.
Cooperative â€“ Approximately $528 is the basic monthly Homeowners Assessment Fee. Property taxes are added to the monthly association fee. Each manor must be computed individually for the total monthly fee. The basic fee includes the following:
1. Building insurance (fire and damage excluding earthquake damage).
2. Cable television.
4. Trash pickup.
5. Exterior building maintenance (painting & roof care).
6. Grounds maintenance.
7. Appliance repair and replacement (based on HOA discretion).
Resident pays electricity and telephone.
Right now the prices are very good on Laguna Woods Village coops. Any property that enters escrow after January 1, 2012 will be subject to a $1500 facilities fee. If you see something you like, I would recommend buying it before the new fee goes into effect. Please e-mail me if you have any additional questions. Lisa.Mills@century21.com Thanks Lisa Mills
Happy funding, Rudi
A multi-unit property owned by a corporation in which individual ownership is acquired through purchase of stock and exclusive right of occupancy to a portion of the property is acquired through a proprietary lease
If your looking to purchase in one of the handful of communities that have this, it is really just another legal layer and is really just owned by a corporation versus a private owner, and requires full disclosing. When you go thru escrow, this type of property has some additional paperwork, and its pretty straight forward.
When you go to sell, again it is just additional paperwork. Not a big deal at all!!! Good Luck!!!
Prudential California Realty
Normally you have to pay all Cash for a Co-op property. Are you looking at Leisure World?
Realtor Since 1996
Main Street Realtors