🗽 First-Time Homebuyer’s Guide in NYC

Buying your first home is always exciting — but in New York City, the process can feel overwhelming. Between co-ops, condos, down payments, and navigating one of the most competitive real estate markets in the world, first-time buyers need a clear roadmap. This guide will walk you through the essentials so you can approach the process with confidence.

1. Understand the NYC Market

The New York City housing market is unique. Most properties fall into two categories:

• Co-ops (Cooperatives): About 70% of NYC’s housing stock. Buyers purchase shares in the building corporation rather than the apartment itself. Co-op boards have strict approval processes and down payment requirements.

• Condos (Condominiums): Typically more flexible, with faster approvals and the ability to rent out units. They often come at a higher price point but with fewer restrictions.

👉 Tip: Decide early if you prefer the affordability of a co-op or the flexibility of a condo.

2. Get Pre-Approved for a Mortgage

Before you start shopping, secure a mortgage pre-approval. This tells sellers you’re serious and shows exactly how much you can afford. In NYC’s fast-paced market, pre-approval can give you a competitive edge.

• Check your credit score

• Compare lenders for best rates

• Factor in property taxes and monthly maintenance fees

3. Budget for More Than the Purchase Price

First-time buyers are often surprised by the extra costs of buying in NYC. Beyond your down payment, plan for:

• Closing costs: 2%–4% of the purchase price for co-ops; 3%–6% for condos.

• Mansion Tax: Applies to purchases over $1M, starting at 1%.

• Monthly fees: Maintenance (co-op) or common charges (condo).

4. Work with a Buyer’s Agent

An experienced NYC real estate agent is invaluable. They’ll:

• Help you find listings that match your needs

• Navigate board packages and applications

• Negotiate on your behalf

• Guide you through legal and financial requirements

👉 The best part? As a buyer, you don’t pay the broker fee — it’s typically covered by the seller.

5. Prepare for the Co-op Board Package (If Buying a Co-op)

If you choose a co-op, be ready for one of the most detailed application processes in the country. You’ll need:

• Tax returns, bank statements, and employment verification

• Reference letters

• A debt-to-income ratio that meets building requirements

Then comes the board interview, where the co-op board gets the final say on your approval.

6. Think Long-Term

Ask yourself:

• Do you plan to stay at least 5–7 years?

• Is the neighborhood growing or declining in value?

• How easy will it be to resell in the future?

Buying in NYC is a long-term investment. Even if your first property isn’t your “forever home,” it can be the stepping stone to building equity and wealth.

✅ Final Thoughts

Becoming a first-time homebuyer in New York City takes preparation, patience, and the right guidance. From understanding co-ops and condos to budgeting beyond the sticker price, the process can seem complex — but with the right team behind you, it’s absolutely achievable.

Whether you’re ready to start your search or just exploring your options, DiGiulio Real Estate, exclusively represented by Jason Berisha, is here to guide you every step of the way.