Minneapolis St. Paul Co-Ops for Sale
Housing cooperatives are a fast-growing option for Minnesota residents, offering an alternative to traditional home purchases or renting a home from a landlord. Our REMAX agents understand the co-op housing market and often work with clients who are considering this option. Primarily an urban housing solution, cooperative housing is growing in popularity in cities all across the United States, but is poorly understood by most people.
In the Minneapolis St. Paul urban environment, a number of co-op housing developments are available, and co-op living is popular with students, individuals, families, and older residents alike. Its unique features are quite different from traditional housing.
Co-Op Housing Basics for Minneapolis St. Paul Residents
- Unique Concept – The property itself, usually a multi-family property, is owned by a non-profit corporation. Individuals purchase a share in the corporation that entitles them to occupy one unit in the property. Ownership is simply ownership of equity in the corporation rather than ownership of a specific residence. Residents, who are also shareholders, pay a monthly amount, similar to rent, that covers their share of the operating expenses of the corporation that owns the property. Those expenses include maintenance of the property, services required for the property, mortgage payments, taxes, insurance, and other costs.
- Property Management – A board of directors, elected by the co-op’s shareholders, manages the property. The directors make decisions about every aspect of the property. They also handle the corporation’s finances. As with the Homeowners Association of a condominium or townhome development, residents play a democratic role in the management. The board may hire a manager, especially for larger properties, and various committees may handle specific aspects of management.
- Cost of Ownership – The cost of an individual share may vary with market condition, or may be fixed. The cost depends on how the co-op is set up. Shares may be sold when a resident leaves the property, and if they are based on market value, there may be a profit or loss involved in the transaction. Each cooperative housing property is unique and may be a low or high-rise apartment building, townhouse development, or garden apartments. Each association sets its own rules and bylaws. Prospective shareholders should investigate and evaluate any property carefully before making a commitment.
Is Minnesota Co-Op Housing Right for You?
Making the decision to live in a housing cooperative is a serious one. If the concept appeals to you, it may be an ideal choice. Students attending Twin Cities universities or colleges often find this type of housing attractive. Seniors often find co-op living a great option as well. Each individual should carefully assess any housing cooperative thoroughly before making a commitment.
How Our MN REMAX Team Can Help You with Co-Op Housing
As Minnesota’s #1 REMAX Realty team, we’re interested in every type of housing, and understand co-op housing properties available in the Twin Cities area. If you’re considering buying a share of a housing cooperative, we’ll be happy to assist you with a customized home search of listings by Northstar MLS MN members. With our unlimited access to Minnesota MLS, we can find out detailed information about the properties that interest you. We can also give you the facts you need about co-op housing arrangements and about individual housing cooperatives in the Minneapolis St. Paul metro area.