What is Co-operative Housing?:
It is a type of residential housing where the resident-members own the building collectively and are their own landlords. The resident-members manage the building and make decisions about its operation, such as setting monthly cost and making repairs. And you build equity in the house you live in wheras with rent to your landlord you have zero return. Additionally you must live in the co-operative house and make it your primary residence. You cannot rent it out to anyone.
Benefits of Co-operative housing:
- You become your own landlord.
- No rent increases. Ever.
- In 10 years your monthly rent will be $400 or less.
- You build equity in your co-op house.
- You preserve your money: Your monthly rent builds equity in your own house rather than being lost as rent to another landlord.
- Less money than renting from a landlord or the costs of your own home.
- Potential for extra appreciation: The value of the house can increase over time, leading to a higher equity stake.
- You can travel and not worry about your house. Resident-members look after bills and upkeep when you are travelling.
Below are actual examples of the financials and the equity you would have for various houses. First understand the basics BELOW then join Epheo.com to select where you want to join or start a co-op.
Actual Example:
A $799,900 5 bedroom house 2 bathrooms
- Your investment $35,836 buys 1/5th of the house : and covers 1/5th: of the down payment, land transfer taxes and legal fees.
- Your Monthly Cost is $1,553: for 10 years or $2,607 5 years. Monthly costs are 1/5th of the finance payment, property taxes, insurance, and utilities.
- When paid your equity is $159,980: and your monthly goes down to $137 in todays dollars. This is a significant return whereas you have zero return with rent.
Actual Example:
A 6 bedroom 3 bathroom $949,900 house for a co-op
- Your investment $42,435 buys 1/5th of the house :
- Your Monthly Cost is $1,850: 10 years or $3,101 5 years.
- When paid your equity is $189,980: and your monthly goes down to $137 in todays dollars.
Actual Example:
5 bedroom 2 bath $299,900 house for a co-op
- Your investment $13,130 buys 1/5th of the house :
- Your Monthly Cost is $656: 10 years or $1,051 5 years.
- When paid your equity is $59,980: and your monthly goes down to $125 in todays dollars.
Actual Example:
A 6 bedroom 3 bathroom $529,990 house for a co-op
- Your investment $23,654 buys 1/5th of the house :
- Your Monthly Cost is $1,062: 10 years or $1,760 5 years.
- When paid your equity is $105,998: and your monthly goes down to $124 in todays dollars.
Actual Example:
A 6 bedroom 2 bathroom $349,000 house for a co-op
- Your investment $15,742 buys 1/5th of the house :
- Your Monthly Cost is $751: 10 years or $1,210 5 years.
- When paid your equity is $69,800: and your monthly goes down to $133 in todays dollars.
Actual Example:
A $899,000 6 bedroom 3 bathroom house for a 5 bedroom co-op
- Your investment $42,782 buys 1/5th of the house :
- Your Monthly Cost is $1,726: 10 years or $2,919 5 years.
- When paid your equity is $179,800: and your monthly goes down to $134 in todays dollars.
Actual Example:
A $959,900 7 bedroom 3 bathroom house for a 5 resident/couple co-op
- Your investment $45,705 buys 1/5th of the house :
- Your Monthly Cost is $1,825: 10 years or $3,090 5 years.
- When paid your equity is $191,980: and your monthly goes down to $126 in todays dollars.
Actual Example:
A $249,000 5 bedroom 3 bathroom house for a5 resident/couple co-op
- Your investment $11,000 buys 1/5th of the house :
- Your Monthly Cost is $877: 5 years.
- When paid your equity is $62,250: and your monthly goes down to $136 in todays dollars.
Another big advantage
As your monthly expences are far lower, you can buy better food. By cooking together you can easily eat superior full nutrition meals which have many advantages! According to science a superior diet can help you live longer, keep your skin, teeth, and eyes healthy, support your muscles, boost your immunity, strengthen your bones, help reduce weight and lower your risk of heart disease. It can also help you prevent other diseases, boost your mood, and give you the energy you need to grow and repair your body. Science says that people who eat superior diets rich in vegetables and fruits have a significantly lower risk of obesity, heart disease, stroke, diabetes, and certain types of cancer.
Requirements
To become a resident/member/couple in a co-op house you need a minimum pension or salary of about $2000 per month, and money for the deposit, legal and land transfer tax. Amounts depend on the house purchased. This money is only needed when the house is purchased! Seniors also need to be in reasonable health and capable of looking after yourself. Co-op's are not nursing homes.
My name is Richard Hirtle also known as Ricky McMountain and I will be joining one of the co-operatives personally!