So You’re Tryin To Sell/Refi Your Co-Op And You Misplaced Your Lease

Losing your co-op documents can really suck if you’re trying to refi or sell your apartment. Unlike home and condos, there is no filing of deeds with the municipal clerk. So what happens when you lose your co-op stock certificate and proprietary lease papers?

It depends on who loses them, reports NYT.

Lender loses:

Co-op requires the lending institution to provide an affidavit stating the loss. Additionally, the co-op will make the lender indemnify the co-op in case someone clams the shares.
Lender will pay the $500-$1000 for submitted the affidavit and indemnification.

Shareholder loses:

Co-op will insist the shareholder, or their estate, pay for a bond or insurance from before transferring share ownership. Bonds will cost 1-3% of the total price, title insurance can cost up to 1.25%

So avoid the fees and keep more organized records. Consider digitizing your important documents and putting them on a CD or DVD. — BEN POPKEN

If You Misplace Co-op Documents [NYT]


Edit Your Comment

  1. Kornkob says:

    When making archives of important documents be careful not to use any proprietary formats that may fall out of common use/support. Or make sure you save a copy of a reader for that type of document on the disc, to ensure that you’ll have a reader for it later.

    Of course, this doesn’t help if you save those docs so long that the OS for that reader is no longer supported.

  2. Hawkins says:

    There is no excuse for not digitizing everything important. Combo scanner / printers, with a document feeder, cost less than $100. A moderate-res scan of page of documentation that can save your butt a year leter costs you 50 to 100 Kb of storage as a .PDF file, which anybody can read on any platform.

  3. Kornkob says:

    Yes– right NOW pdf is a readable format. Be aware however that if pdf format falls out of use because of business or technology changes you may need to go back in and convert those documents to another format.

    There are documents out there that you will want to retain for 10 years or more, which is an eternity in software backwards compatability land.

    Raise your hand if you have an old resume, term paper or study data on a 5 1/4 floppy stored in an archaic version of some program for dos. *raises hand*

    The point I’m making isn’t that you shouldn’t store digitally. I’m just saying you have to go into it aware of the limitations and be willing to stay on top of it.

    If you’re not going to do that then a good fire and water proof safe bolted to the floor is a good investment. Paper documents haven’t changed format in a long time and, stored appropriately, will be readable by anyone long after you are dead.