AmTrust Mortgage Eyeballing Coop Loans

AmTrust Mortgage (formerly Ohio Savings Bank) is looking to make a play for the New York City cooperative mortgage market. They have been FNMA approved to lend against coops for a long time, but only recently decided to try to wrap their heads around getting into this line of lending.

They've hired a top dog who formed Citibank's coop lending and asked Jonathon Miller to push out some numbers on the size of the market (about 5 Billion USD), so perhaps they are getting comfortable with this property type.

Interesting for those of us who have been doing coop mortgages for years to see a lender making baby steps into this robust market.

Reverse Mortgages for Coops

Bank of New York Mortgage (owned by Everbank now since Chase and BNY did an asset swap) has introduced a jumbo reverse mortgage product for coops. They are one of 2 lenders offering this niche product. The other is Indymac's Financial Freedom (though I couldn't find any information about that on their site).

Tomorrow I attend a workshop about reverse mortgages on coops, so I will know more about them and how they work.

One thing that comes to my mind with these mortgages is: Is there really that much liquidity in the market that institutional investors are willing to just sit on a loan for x number of years without collecting any payments until the loan is due? That's incredible to me.

What 2007 is shaping up to be

The Cooperator has some ideas on what 2007 will bring. Only one surprise- housing prices will rise nationally while NYC housing prices decline. Seems that everyone here in New York City is expecting the good times to keep on roaring ahead, so this prediction by Davis Stiff, Fiserv’s chief economist, will come as a shock, and probably piss some people off.

For more on this check it out here.

1 BR Riverdale Coop for Sale

Check out the walk-through here.

Check out the listing here.

And of course, for financing on this purchase, click here.

Sun-filled Riverdale 1 Bedroom

Location: Riverdale

This delightful coop on the river side of Henry Hudson Parkway is on a high floor, offering gorgeous Riverdale views and lots of light from windows to the north and south. The Windsor offers a full time doorman, gym, parking, in-building laundry, outdoor swimming pool, storage, bike room and express bus service to the subway and the Metro North. The apartment offers many windows, a dining area, great closet space, windowed kitchen, a balcony facing south for all day sunlight in a quiet well maintained building. Southern & Northern Exposure for All Day Light
Balcony with Sweeping City Views Lots of Closet Space 24 Hour Doorman
Outdoor Swimming Pool In-Building Parking Available (no waiting list) Windowed Kitchen Dishwasher

Photo Gallery

Information

Contact Information

Jeffrey Loyd

212-582-9050

jeffrey@jeffreyloyd.com

Pricing

Asking Price: $220,000.00

Flexibility: Negotiable

Additional Pricing Information: 80% Financing$658 Maintenance (42% Deductible)

Homeowner Dues: $658

Property Location

4705 Henry Hudson Parkway
Bronx, NY 10471

Links

For Financing

My Blog

My Real Estate Site

Features

Bedrooms: 1

Bathrooms: 1

Parking: In-Building

Year Built: 1960s

Located on Floor #: 9

Floors in Bldg: 14

Square Footage: 700 approx

Agent Name: Jeffrey Loyd

Broker: Hydra Property Group

MLS #: 4705 Henry Hudson Parkway 9F

Attributes

Appliances

Range/Oven

Full Refrigerator

Dishwasher

Microwave

Building Amenities

Exercise Room

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Equal Housing Opportunity

VFLYER ID: 866308

Decade High On Default Rate

One thing that is a blessing about focusing on the Manhattan coop market is that the board approval process and the down payment requirements don't create a market for subprime mortgages. I've avoided the subprime market for this simple reason, and I'm glad when I read that the default rate has risen to 10% of the mortgages sold to investors. That's up from 6.62% according to a report by investment bank Friedman Billings Ramsey & Co. I saw this report in REALTOR Magazine's Daily News.