Cohousing-L Mailing List: Re: Replacement reserves

[Joe Nolan (jnolan]

Elizabeth Stevenson wrote:

> Co-ops ARE groovier. The reason it's hard to get a bank to finance a co-op
> is that they don't make a profit for the homeowner.
I'm pretty ignorant of the details, but I do know that we can resell our 
shares at the market rate, which has in fact gone up some.
Our bylaws call for a 25% "flip tax" on gains, so if you make a $40K 
gain when selling your home (shares) you give back $10K to the coop, 
which gets earmarked for affordability-related uses.
AFAIK, this flip tax stuff is at the discretion of whoever creates the 
coop bylaws, but maybe our situation is specific to NY state laws, don't 
know.


> Maybe I'll retire in Ithaca...
>  
We have two homes available!