Maria Gonzalez is purchasing a cooperative apartment in Manhattan. Her attorney is explaining title insurance options. All of the following statements about title insurance for New York cooperatives are correct EXCEPT:
Correct Answer
C) Buyers of cooperative shares receive the same owner's title insurance policy as condominium purchasers
Cooperative buyers do not receive the same owner's title insurance policy as condominium purchasers because they are not buying real property. Co-op purchases involve personal property (shares) and therefore require different types of coverage, if any.
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More Property Ownership Transfer Questions
David owns shares in a cooperative corporation that entitle him to occupy apartment 4B. He wants to sell his interest in the co-op. What is David actually selling?
In New York, what is the primary difference between an owner's title insurance policy and a lender's title insurance policy?
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- → Jennifer inherits her grandmother's cooperative apartment in Brooklyn. The proprietary lease has 75 years remaining. What happens to Jennifer's ownership interest if the proprietary lease expires?
- → In New York, what type of property interest does a cooperative apartment represent?
- → Karen wants to make renovations to her cooperative apartment kitchen. Before beginning work, what must she typically do?
- → A cooperative corporation in New York has various ongoing responsibilities to its shareholders. All of the following are typical responsibilities of a co-op corporation EXCEPT:
- → John owns 150 shares in Riverside Cooperative Corporation, which entitles him to occupy apartment 4B under a proprietary lease. He wants to sell his cooperative interest. What is John actually selling?
- → Under New York's recording system, what happens when two deeds for the same property are recorded on the same day?
- → David owns shares in Brooklyn Commons Cooperative and wants to sublet his apartment for two years while working overseas. What restriction typically applies to subletting cooperative units in New York?
- → Lisa is explaining the difference between cooperatives and condominiums to her client. What document do cooperative purchasers receive instead of a deed?
- → Robert's proprietary lease for his cooperative apartment is about to expire. He is concerned about losing his right to occupy the unit. How long do proprietary leases typically run in New York cooperatives?
- → Sarah purchases a condominium unit in Manhattan. As a New York condominium owner, what type of property interest does she hold in the unit itself?
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Under New York law, what does a title insurance policy primarily protect against?
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James Wilson is refinancing his home in Buffalo, NY. His new lender requires a lender's title insurance policy. Since James obtained an owner's title insurance policy when he originally purchased the property three years ago, what is the most accurate statement about his current situation?