The Ultimate NYC Buyer’s Guide

The Ultimate NYC Buyer’s Guide: Everything You Need to Know Before Purchasing Your Dream Home

Buying a home in New York City is an exciting and rewarding journey, but it can also feel overwhelming—especially with the fast-paced market and unique nuances of NYC real estate. Whether you’re a first-time buyer or an experienced investor, having the right knowledge and team behind you is crucial. That’s why we’ve created this comprehensive NYC Buyer’s Guide to help you navigate every step of the process, from setting your budget to getting those coveted keys.

We, Ivana Tagliamonte and Kyle Haas, have spent decades helping buyers find their perfect homes, and we believe an informed buyer is an empowered one. Let’s dive in!

Step 1: Getting Started

1. Evaluate Your Budget
Before you start your home search, it’s essential to understand your financial position. Consider:

• Down Payment:
  • Condos: Typically require at least 10% down, though 20% is often preferred.
  • Co-ops: Usually require at least 20% down, with some buildings requiring more.
• Monthly Expenses: Factor in mortgage payments, maintenance fees (for co-ops), common charges (for condos), property taxes, utilities, and any potential parking costs.
• Debt-to-Income Ratio: For co-ops, your annual housing costs shouldn’t exceed 25–30% of your gross income, and total debt should typically stay under 35%.

2. Get Pre-Approved for a Mortgage
A mortgage pre-approval shows sellers you’re a serious buyer and strengthens your position in negotiations. Keep your financial documents organized, including tax returns, bank statements, and pay stubs—especially if you’re buying a co-op, which requires a detailed financial review.

3. Check Your Credit Score
A good FICO score (www.myfico.com) can help you secure better mortgage rates. Review your credit report, clear up any disputes, and reduce high credit card balances before applying for a loan.

4. Choose a Real Estate Attorney
NYC has complex real estate laws, and a specialized New York City real estate attorney will guide you through contract reviews, building financials, and closing procedures.

Step 2: Finding the Perfect Home

1. Decide on Condo vs. Co-op
Understanding the differences between condos and co-ops will help you decide which is the best fit:

• Co-op (Cooperative):

  • You buy shares in a corporation that owns the building.
  • Requires board approval, and they can reject applicants.
  • Usually more affordable but with stricter rules on subletting and renovations.

• Condo (Condominium):

  • You own real property and receive a deed.
  • Easier approval process and more flexible subletting policies.
  • Typically higher purchase prices and closing costs.

2. Explore Neighborhoods
Spend time in different neighborhoods to find one that fits your lifestyle. Consider:

• Proximity to work, schools, and transportation
• Local amenities like parks, restaurants, and cultural spots
• Building amenities like doormen, gyms, and pet policies

3. Prioritize Must-Haves
Create a list of what matters most: space, light, views, outdoor areas, building amenities, and layout. Being clear on your non-negotiables will help your real estate agent find the perfect match.

Step 3: Making an Offer and Getting Approved

1. Submitting an Offer
When you find the right property, your agent will submit a written offer including:

• Purchase price and preferred closing date
• Financial qualifications (net worth, income, and debt status)
• Any contingencies, like mortgage approval or home inspections

2. Going to Contract
Once your offer is accepted, the seller’s attorney prepares a contract. Your attorney will:

• Review the building’s financials
• Conduct due diligence on the property
• Ensure the contract protects your interests

You’ll sign the contract and provide a 10% deposit, held in escrow until closing.

3. Apply for a Mortgage
With a signed contract, you can formally apply for your mortgage. Your lender will:

• Schedule a property appraisal
• Issue a commitment letter once approved

Step 4: Board Packages and Approvals

If you’re buying a co-op or condo, you’ll need to complete a board package or condo application, which often includes:

• Personal and professional reference letters
• Employment verification and pay stubs
• Bank statements and brokerage account documentation
• Two years of tax returns
• A formal mortgage commitment letter (if financing)

For co-ops, a board interview is typically required. Prepare by reviewing your application and practicing clear, concise answers.

Step 5: Closing on Your Home

1. Final Walkthrough
Before closing, you’ll inspect the property to ensure everything is in the agreed-upon condition. Test appliances, outlets, and plumbing, and confirm any agreed-upon repairs have been completed.

2. The Closing Process
Closings in NYC usually take place at the management company’s office (for co-ops) or the seller’s/lender’s attorney’s office (for condos). Attendees may include:

• Buyers and sellers, plus their attorneys
• The lender’s attorney and title company (for condos)
• Real estate agents from both parties

At closing, you’ll sign all necessary documents and receive the keys to your new home. Congratulations!

Additional NYC Real Estate Terms to Know

• Maintenance Fees: Monthly charges in co-ops covering building expenses, taxes, and staff salaries.
• Common Charges: Monthly fees in condos for building upkeep, not including property taxes.
• Flip Tax: A fee some co-ops charge sellers upon resale.
• Assessment: A temporary fee imposed for major building projects or improvements.
• Right of First Refusal: A condo board’s option to purchase the unit under contract if they prefer not to approve the buyer.

Why Work with Ivana & Kyle?

The NYC real estate market moves fast, and having the right team on your side makes all the difference. With over 30 years of experience, Ivana Tagliamonte and Kyle Haas bring a wealth of knowledge, strong industry relationships, and a passion for helping buyers find their perfect home.

From the first showing to the final signature, we’ll guide you through every step—ensuring your experience is seamless, informed, and even enjoyable.

Ready to start your home search? Contact us today or visit www.ivana-kyle.com to learn more.

Let’s find your dream home together!