The Lower East Side's Co-Op Village never seems far from controversy. A few months back, they told workers they couldn't speak Spanish on the job. Now, a proposed increase in the flip tax at the Seward Park Co-Op—from 5% to 8.5%—again has residents in a tizzy. Notes a Curbed reader, "I was alerted to this by a friend who just bought there, and he already had problems with the 5% flip tax -- his lawyer went ballistic when he saw how high it was and his bank required him to increase his downpayment above the usual 20% because the flip tax was so high. I can only imagine what this will do to future sales." Naturally, posters on the always lively Co-Op Village message board are apoplectic.
Many Co-Op Village residents, of course, got in on the ground floor when the units slowly converted to free market sales in the late 1990's. Others who've bought in more recently have gotten good deals, too—including the couple profiled by Toni Schlesinger in the Voice this week: "When I came in, there were cockroaches all over... I was crying—maybe we made a mistake... We paid $425,000, which was under market. I think today this place would go for $600,000." Loho Realty's got a seemingly less impressive (though 200sqft larger) 2BR with smaller balcony, asking $679,000. Just don't expect to flip that sucker and run.
· Seward Park Raises Flip Taxes across the Board [Co-Op Village Online Forum]
· Wealth at Co-Op Village [Village Voice]
· Listing: Co-Op Village with River Views [Loho Realty]
· Seward Park Residents Getting Flip [Curbed]