Are co-ops worth investing in NYC?

[J Usmonov]

Hi. I am interested in purchasing an apartment in NYC (Brooklyn) and rent it out. I came across many apartments, but all of them are mostly co-ops. Are co-ops worth investing? did anyone in this community invested in RE in NYC or JC area and can you please share your experience, if you do not min? Looking forward to hear from you all. 

[Basit Siddiqi]

@J Usmonov

In my opinion Co-ops in NYC are not a good investment.

1) You have to deal with the Co-ops rules
They may not allow you to sublease, they may allow you to sublease after 2 years, they may allow you to sublease immediately. Make sure to read the by-laws

2) The pool of candidates that you can sell to is limited. 
The board has to approve the buyer if/when you decide to sell the property.
The Co-op board normally will veto any sales that occur in a down market. They don't want a property with a low comp to affect the home value of the other home owners.
They are selective of who they bring in. They want to make sure that individual can afford the monthly maintenance payments

3) Mortgage payments + monthly maintenance makes it a very costly investment and hard(not impossible) to cash-flow.