Rossmoor CO-OP Ownership : What are its PRO’s & CON’s ?
PRO's:
1.) Co-ops are inexpensive to purchase & property taxes are included in your monthly fee.
2.) The Mutual repairs or pays for replacement of appliances. This includes heat/ac/stove/oven/dishwasher/washer & dryer
3.) Almost all are conveniently located near Clubhouse.
4.) Almost all building maintenance is the responsibility of the Mutual including doors, windows, siding and walkways (enclosed porch is the single exception). Cosmetic updates such as paint, flooring, cabinets are the owners responsibility.
5.) Co-op owners are able to deduct payments of property taxes from their federal taxable income. These taxes are included in the monthly fee.
6.) All have covered parking spot in carport w/ storage closet.
CON's:
1.) Co - Ops are cash only purchase
2.) The Buyer must have guaranteed monthly income equal to at least 3X the monthly maintenance fee on the Co-op in order to quality to purchase.
3.) Home Equity Loans are not available to Co-op owners, making it impossible for homeowners to tap into individual built-up equity. Your money is invested in your home until you sell it.
4.) The Co-op Buyer must also be its Resident (Investors not allowed).
5.) Co-ops are not rentable