Homeownership FAQs

Thank you for your interest in joining one of the limited-equity housing cooperatives which UHAB supports.  This FAQ will help you in your research about our process.  We look forward to seeing you at our Homeownership Workshop!

Click on any link below to be directed to the answer to your question:

I like what I see on the UHAB website.  How do I apply for a co-op?

UHAB does not have a waiting list.  To apply for a co-op unit, you must submit an application and the back-up documentation by the postmark deadline specified for that listing.  You will also eventually have to attend an introductory Homeownership Workshop. Attendance is NOT REQUIRED PRIOR to application submission. 

I've already applied and see a new listing on the UHAB website.  How do I apply for the new listing?

If you recently applied for a co-op unit, see the Letter of Interest for instructions. 

How can I figure out if I'm even eligible for any UHAB vacancy?

UHAB begins by looking at five factors:

  • You must meet the income guidelines for a particular building.
  • You must fit the appropriate household size for the unit.
  • You must have a credit score high enough to get a loan (if you need one).
  • You must be a first time homebuyer.
  • The maintenance must be affordable to you, and if you need a mortgage as well, the two combined must be affordable to your household's budget.

In addition to being income eligible, you must also have an appropriate family size (for the unit) and a Social Security Number (SSN) or Taxpayer Identification Number (TIN). If you meet these criteria, the chance is good that we will successfully be able to work together. If you need to work on one or more of these factors, we nonetheless encourage you to apply if you are interested in the limited equity co-op model. As you work on improving your credit score, for example, you can also be in our Interest Pool, researching what we have available, and otherwise working with us. UHAB gives a preference to applicants who are residents of NYC. 

Please note:  if you currently own residential property, you will have to provide additional information to us about this property, its tenants (if applicable) and its finances for us to make a determination about eligibility.

We use the HPD and NYCHA standards as guides for household size appropriateness. We do not have the resources to “over-house” because we work with so few units in relation to NYC’s need. We always look at current household size. If however you feel you have extraordinary space requirements, we will review any documentation, verification and back-up you provide. Our review of your documents does not guarantee we will adjust the standards we use.

 

What income does UHAB evaluate if I am/we are eligible?

UHAB must review all income from all household members.  This includes income from adults and minors, both earned or unearned, whether that household member is buying or simply planning to reside in the unit.  Total household income must be assessed by the co-ops we assist to comply with their legal documents and determine household eligibility.  We ask you for tax returns and proof of current income as part of our review.  We evaluate your gross income earned; not “adjusted gross” income.  We use your income tax returns as a guide of your earning pattern but not a representation for the income you will earn in the year you submit an application to us.  We ask you to provide current paystubs so we can calculate your income in the year you apply.  If you do not have paystubs we will need some alternative such as proof of consulting contracts, an income tally of deposits to your bank account or an income projection letter from an accountant.  If you are completely self-employed we will need a letter from a CPA which projects you income in the year you apply.  

I currently live in Colorado. Can I apply?

UHAB mirrors NYC housing policy by giving a general preference on all projects to current NYC residents. NYC residents would go ahead of NYS residents, who then take priority over people applying from any other state, or elsewhere. 

I see different sales prices and different incomes listed on your materials.  Why?

The co-ops UHAB helps sponsor come from programs to create affordable housing.  As such, the co-ops will have both income rules for people becoming shareholders and caps on the resale prices when shareholders leave. Often, when UHAB is the direct sponsor of a co-op, the income cap will be 80% of the “Area Median Income.”  However, in all cases the income cap will not exceed 120% of the "Area Medium Income” when UHAB is the direct sponsor of the co-op.   Purchase prices are individual to a building and based on that building’s renovation scope and mortgage.  Sometimes UHAB secures a purchase subsidy for future shareholders, which is reflected in a special, reduced purchase price for a building.

When can I see an apartment?

We make every effort to post photos of available apartments on our website.  In addition to that, we will arrange for you to see an apartment when your application is selected for a board interview.

What if an application requirement does not apply to me?  

If you feel that an application document does not apply to you, write us a note explaining why with your application.  Without your explanation, we will consider that document missing which may hold up your eligibility. But don't worry- if your explanation is unclear or insufficient, we will contact you to clarify.

I am interested, but my credit score is lousy.  What are my options?

We want to fill units with people who want to be shareholders in affordable, resident-controlled co-ops. If you are interested in us, we are interested in you. If your credit score is below 640, we believe it will be difficult for you to secure a loan and purchase. However, you may work on improving your credit and get back to us when it has gotten better.

We also recommend that you reach out to any of the 10 downstate members of the New York Mortgage Coalition, the BK Co-op Federal Credit Union, Neighborhood Housing Services or the Neighborhood Trust Federal Credit Union, to get homeownership counseling, take classes, and improve your chances of becoming a homeowner.

Don’t give up: we'd love for you to apply again when your score has improved.

My lease is expiring.  How can I get into a co-op before that happens?

We want to help co-op minded, income-eligible people become shareholders in the buildings we work with.  Our process takes the time it takes.  We work as quickly as we can, but we cannot specifically accommodate the deadline of an expiring lease. 

Are these all the buildings you have? When will you get more?

UHAB lists every building with vacancies for which we have permission from the NYS Attorney General to market or which we've been asked to market by the HDFC. We cannot predict when we will have new buildings, but we are working all the time to help buildings prepare for the marketing of any vacant apartments. We recommend that you check our website periodically for new listings. The first place we will publicly “announce” a new building is on the web. 

Does UHAB have anything for rent?

UHAB does the initial marketing for some affordable rental buildings in NYC.  In those cases we conduct a lottery which follows NYC’s HPD guideline.  Please consult our website listings for rental lotteries currently open.

I've already taken a Homeownership Class; Why do I have to take UHAB's?

Our one required class is the “Introduction to Limited Equity Co-ops”.  The class describes this type of housing model and history.  The class is not a “homeownership” class in the sense offered by certified homeownership counseling agencies, which UHAB is not.  Our class introduces you to Limited Equity, HDFC Housing cooperatives and is different from anything taught by the City’s housing counseling organizations.  

What happens to my application after the postmark deadline?

A log number is randomly generated for each timely application, and you may be able to learn your log number two to ten months after the postmark date.

We do not give updates over the phone. We do not give updates by email.

How do you decide which applicant gets which apartment?  

We use building-specific random draw process for applications timely received by the postmark date.

In reviewing applications, we consider income guidelines, household size, credit scores, ability to make the down-payment. If your household is eligible based on these factors, we will set up an interview with the Shareholder Interview Committee. UHAB gives a preference to applicants who are residents of NYC. 

If we are able to offer an applicant a unit, it will be sized appropriately based on household size. Please note: NYC government and housing nonprofit standards are used to determine unit size appropriateness.

Can UHAB help me get a loan?

Yes! UHAB is proud to offer loans through Homeownership Lending. 

Homeownership Lending offers loans to purchasers of income restricted cooperatives and those that are subsidized by federal, state and city agencies. Unlike most lenders, we are familiar with the unique nature of limited-equity co-ops and, therefore, we understand how these loans need to be structured in order to meet borrowers’ needs, and the needs of the cooperative corporation. With no points or hidden fees, we tailor our loans to be as affordable as possible to each individual borrower. A subsidiary of UHAB, HomeOwnership Lending is a Community Development Financial Institution (CDFI) and a New York State licensed lender with a not-for-profit purpose.

How can I get an update on my application status?

We do not give updates over the phone, by email, or in person.

We will process applications in log number order. If we get to your application, we will contact you two to ten months after the postmark deadline.

Is child support income? How about alimony?

Child Support is not taxable or deductible income so we do not evaluate it.  Alimony is both taxable and deductible so we do count it toward your household total.