Buyers favoring condos over co-ops

Demand is stronger for high-end condominiums than for cooperatives in Manhattan, the Wall Street Journal reported. The trend is somewhat of a reversal from the typical recession buying activity — which has, historically, favored co-ops. It takes longer to sell a co-op than a condo, according to data from Miller Samuel, a real estate appraisal firm, and in May it took an average of 16.2 months to sell co-ops priced between $3 million and $5 million, while it took only 11.5 months to sell condos in the same price range. Appraiser Jonathan Miller, president of Miller Samuel, said the gap between condos and co-ops partly reflects changes in demand, as foreign luxury buyers tend to favor condos because they’re easier to acquire. But those who remain in the market for co-ops, like executives in the finance industry, are finding it difficult to meet the strict guidelines of the co-op boards. [WSJ]