The scrutiny of a co-op board interview can ratchet up the tension when you’re buying in New York City. Facing questions about your finances and personal habits can be daunting—particularly because boards can reject a potential buyer without giving a reason.

Your best bet is to thoroughly prepare for this important part of the co-op buying process by anticipating what you will be asked. 

That’s true no matter the format of the interview. One legacy of the pandemic is that many boards switched to video conferences rather than trying to find a suitable date and time to convene in person. 

“Some boards have returned to in-person but some have vowed to never do in-person again,” said Dean Roberts, an attorney at real estate firm Norris McLaughlin. 

Just don’t assume you can request a Zoom meeting because it’s more convenient for you.

“As a buyer, you want to meet the board where they are,” said Molly Franklin, an agent at Corcoran. That includes you driving home from the Hamptons or flying in from abroad.

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[Editor’s note: A previous version of this article ran in December 2024. We are presenting it again with updated information for May 2025.]

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And if your interview is virtual, don’t skimp on your homework—and mind your online manners. Roberts said he’s amazed at how many unpleasant things he’s seen or heard in the background.

“You do not want to have someone flushing the toilet or two kids screaming at one another during the interview process,” he said. He also recommends using a real background that’s visually appealing.

“In general, I think boards are put off by fake backgrounds and wonder what’s really going on behind the green screen,” he said. So don’t set up your interview with a faux Caribbean island. On the other hand, make sure your background doesn’t offer a view of clutter or dirty laundry.

Virtual or not, the questions you will be asked are going to be the same. Keep in mind that for all the anxiety the co-op board interview can generate, the vast majority of rejections are based on application packages, with the bad news delivered well before a co-op board interview would take place. The board just wants to meet you.

Still, it’s an important introduction—you don’t want to spoil your chances by being ill-prepared. Brick asked brokers and lawyers—former board members among them—for questions that might arise and tips on how to answer these curveballs.

The ultimate takeaway: Keep answers simple and short. Less is more. Read on and remain calm.

1. How secure is your job?

Board members will most likely be trying to get a sense of your overall financial stability—especially if you are just getting established or have recently changed jobs. 

“Rejections almost always come down to money,” Franklin said. “Yes, they want to know you are a good neighbor but mostly they want to know you are a steady business partner with a really good umbrella to weather any storms, such as a roof that needs to be replaced or paying volatile utility and inflation costs.” She noted that many buildings have exhausted their reserves in the past few years and might be facing maintenance increases, so boards are being more vigilant about debt-to-income ratios. Her advice is to avoid going over a ratio of 20 percent.

Hence, a buyer’s job security is an increased focus for most boards these days. So now is not the time to discuss any existential crisis about your job or to cause unnecessary alarm with throwaway lines. You want to sound upbeat about your role and not give away too many details. 

Franklin suggested pre-empting this question from coming up by answering it head-on in your board package. 

“I have a lot of clients in tech, which has had a huge round of layoffs,” she said. “So having one of your professional letters be from a direct supervisor who said you are indispensable could quell that as much as anything.” You might also build confidence by showing, for example, you just got a raise and a title—anything to address “last-on, first-off” concerns. 

2. Do you work from home? 

One byproduct of the pandemic is that the concept of working from home is now expected at least a few days a week. “Rather than being an issue, board members and applicants are often exchanging stories about it,” Roberts said.

What they are really asking is how much noise you are going to generate day in and day out. 

This is especially true if you are a musician or performer who practices or teaches at home, in which case “you should have clear lines about how you are going to soundproof your apartment so no one will hear anything,” Franklin said. “No one wants to hear someone else’s six year old learning the piano.” 

3. Why are you downsizing?

This is a common question, though not one that applicants necessarily expect. And, of course, it only applies if you are actually downsizing. You may have fewer family members living at home, or maybe you are trying to trim expenses. If it’s the latter, keep it to yourself. Focus on space, not money.

Brokers said co-op board members don’t want to hear that you are moving to save money. It’s better to say that you’re empty nesters.

4. Are you planning a renovation?

Hearing about any renovation plans can be a concern to board members—even simple projects can spiral out of control. Board members will typically want to understand the scope of the work and whether you can afford to carry a second place while the work is being done. 

For that reason, it is best to omit details of your proposed renovation until after closing. For one thing, you never know who may live adjacent to your apartment and might dread the disturbance of a renovation. 

While you want to be truthful—obviously an estate purchase will require upgrading—it is best to instead say, “we are taking one step at a time and have no immediate renovation plans,” she said.

Franklin agreed. “I tell clients to keep any talk about renovations quiet until after closing, so it’s not like you are lying.”

5. Are you interested in serving on the board?

Again, neutrality is your best approach on this issue, brokers said. Your answer will ideally be along the lines of: “If the board or the building thought that I could make an important contribution, I would certainly be open to discussing it.” It is best not to give the impression you are aiming for a position on the board.

That said, especially in a self-managed building, you would be wise to show you are willing to step up—without saying you would do everything so much better. “No one wants to hear that,” Franklin said. Instead, as a potential business partner, they want to know you are a collaborator. “You want to take the stance of ‘I’m here to listen, learn, and give my energies.” 

On that note, some application packages might ask you directly if you have any background or skills that may be useful to the board, in which case it’s fine to list expertise that might not be readily apparent from other parts of your board package.

6. Do you have parties or entertain often?

This question is common—and it’s not a popularity test. The board wants to gauge whether your socializing will be disruptive. Your best answer might be to say you enjoy having occasional dinners with close friends and leave it at that.

Franklin said personal reference letters should avoid funny stories from college and say nothing, for example, about your drinking prowess. One reference letter for a buyer who worked in publishing said, “he’s so crazy, he almost makes me want to live in a co-op again.” (Bad idea.)

“Boards like the idea of having people with good taste join the building, so having small dinner parties and being a helpful neighbor should be your messaging,” she said. 

7. How often do you host houseguests? 

According to Jeremy Kamm, an agent at Coldwell Banker Warburg, “Some co-ops are interested in knowing how frequently you may have guests staying with you who are not shareholders or occupants.”

He has also heard boards ask buyers if they intend to sublet their units and how often (for co-ops that permit subletting). Weigh your answer carefully. “Even when subleases are allowed, boards are typically not thrilled with them,” he said. 

8. What do you do in your spare time?

While it seems innocent enough, this question can trip buyers up. Consider a simple answer that indicates you’re a quiet, neat resident. Now is not the time to tell the board about your plans for learning the clarinet or your passion for carpentry. 

Kimberly Jay, a broker at Compass, said boards may ask about a hobby mentioned in your application/reference letters (i.e., tennis, charity work, travel, etc.) “This is an easy, neutral conversion starter,” she said. 

9. Why did you choose this apartment/neighborhood?

There is your chance to share a compliment, but don’t get carried away comparing the place to all the other apartments you saw or reveal this is the only place you could afford.

This also isn’t an invitation to overshare. There are times when boards don’t phrase a question as a question, and that can catch people off guard. Brokers advise clients to be cordial and not chatty.

By all means, however, show that you are aware of the building’s storied history or architectural heritage—whatever makes the property unique—as long as it is true and you don’t come across as trying too hard to please. 

10. What was your last interaction with an attorney?

“The best answer is, of course, ‘my lawyer brother-in-law and I had Thanksgiving dinner together,’ but if you do have something behind you, be honest,” Roberts said.

He suggests you temper your answer, though. “Go with something like, ‘I was unjustly sued by someone, we were able to resolve it quickly and cleanly, and fortunately I’ve never had any legal involvement since.”

You want to give a clean, simple explanation that proves you are reasonable and weren’t the source of the problem. But remember, “Litigation is not a scarlet letter, especially for certain businesses,” Roberts said.

It’s worth doing an online search of your name before an interview to see what information comes up. Be prepared to answer questions related to the results.

11. Why are there inconsistencies in your application?

In some cases, buyers will have an assistant fill out their application for them, which can lead to discrepancies or outright errors—and questions from the board about any inconsistencies in your financial record.

“It’s important to work with your broker to interrogate your application so these kinds of questions don’t come up during the interview,” Franklin said. “Your broker might ask you 15 times but the goal is to already explain everything and delineate where the money is coming from and going to so it all matches up.” 

On the bright side, you will likely have advance notice of any issues. “If there are inconsistencies in your application, a need for a guarantor, or substance questions, you would hear from the board via the managing agent prior to being called for an interview,” Jay said. 

But there are exceptions to every rule and not all boards behave the same way. 

If you don’t know the answer to a question, try not to seem flustered. Just say you don’t know the answer, and that you’ll get back to them as soon as you’ve spoken to your accountant.

That said, do not be reserved at this moment. “You are proving yourself as a business partner and nobody wants to go into business with someone who won’t reveal their finances honestly,” Franklin said, adding that the people who get rejected without recourse are usually unwilling to share information about themselves.

“No one is coming after your money; they just want to know that you are a safe choice for them,” she said. 

12. Do you have any questions?

While in other forums it is often useful to have questions at the ready as a demonstration of your interest, you really shouldn’t raise them during a co-op interview—at least that’s the opinion of some brokers.

Boring is good. A co-op interview is not a job interview—people do not have to fall in love with you. For instance, when the board asks you if you have any questions, say, “None that I can think of right now, but I’ll be sure to get back to you if any should occur.” It is never about keeping the conversation going, as it might be at a job interview.

Other brokers take a different stance. Svetlana Choi, a broker at Coldwell Banker Warburg, suggested turning the question around.

“If you noticed something particularly interesting in the building’s architecture or some other positive feature, say how intrigued you were and ask about the story behind it. Board members will be most flattered and want to share their knowledge with you.” (She also warned that some boards require children to accompany you to the interview. Also: “Do not bring gifts or flowers!”)

And Karen Kostiw, another broker at Coldwell Banker Warburg, said that often board members want to get to know the applicant and share building policies and rules. “The board uses the interview to answer the applicant’s questions about the building,” she explained. 

One thing’s for sure: Never ask about the board’s decision at the time of your interview. Instead, say something like, “We look forward to hearing from you.”

Earlier versions of this article contained reporting and writing by Joann Jovinelly, Lucy Cohen Blatter, and Emily Myers.

 

Reverse mortgage industry performance metrics have been soft so far in 2025, but two key data points involving Home Equity Conversion Mortgage (HECM) volume and HECM-backed Securities (HMBS) issuance saw promising increases in April.

HECM endorsements rose by 9% to reach 2,320 loans in April — which followed an expected dip in March due to higher interest rates. HMBS issuance also increased by $48 million last month alongside an increase in the total number of pools issued.

This is according to HECM endorsement data compiled by Reverse Market Insight (RMI), and HMBS issuance data from Ginnie Mae and private sources compiled by New View Advisors.

HECM endorsements, HUD data

Jon McCue, RMI’s director of client relations, told HousingWire’s Reverse Mortgage Daily (RMD) that rate movements are the likely culprit behind last month’s volume increase.

“With only having case number assignments through January and not much improvement from December’s number, we can only speculate that with rates having come down from the high in October it is finally playing through for the April data,” McCue said.

McCue also expanded on an observation that RMI posted in its update: More regular HECM data is starting to be posted by the U.S. Department of Housing and Urban Development (HUD), which has had more limited releases of data since the transition to the new administration in January.

Some of this appears to stem from a recent website redesign unveiled by the department, McCue said.

“During that [redesign] process, many pages people in the industry rely on for data for all sorts of reasons were drastically delayed on being updated,” he said. “Then, some of those pages just went away. Many of us in the industry inquired about what was going on, and then one day those pages were back with some updated data, but not much.”

Right now, the HECM-related datasets are still lagging by roughly one to two months, but “it appears they are working to get caught up,” McCue said. “That has been a great relief to many, not just RMI. This data is vital to so many in the industry, including [the National Reverse Mortgage Lenders Association (NRMLA)] and all of the [HMBS] issuers.”

Regionally, all but one of the 10 tracked geographic regions posted volume gains, RMI explained. With only the exception of the Midwest, “everything was in the green from the prior month,” McCue explained.

“What is driving business in any one place is much harder to decipher than what is slowing business. When we see natural disasters, for instance, we generally see that region slow for a month or so,” he said.

Rates still remain elevated by historic standards, but the industry appears to be finding its footing inside a “new normal,” McCue said.

“Everyone is getting used to the higher rates, which is allowing borrowers to move forward, and loan officers are figuring out how to make the deals work,” he said.

HMBS issuance

A total of 81 HMBS pools were issued in April — 11 more than in March — New View report. In noting the rise in HMBS issuance for the month, New View Partner Joe Kelly told RMD that this conforms with prior years.

“Since 2015, April issuance has significantly exceeded March issuance by an average of about 20%,” he said. “The most likely culprit of this seasonal phenomena is the looming liability of Tax Day on April 15th.”

When asked about ways that rate volatility may have impacted issuance so far this year, Kelly said that the impact was scarce if discernible at all since interest rates “have not been volatile,” he said.

“Compared to other six-month periods in the past few years, the 10-year Treasury for the last six months has been significantly less volatile. HMBS issuance has remained in a fairly tight monthly range,” he said.

The performance of the issuers themselves are also consistent with totals they pulled in last year, he said. Meanwhile, other outstanding issues — like the consistent posture that Ginnie Mae has maintained for the portfolio dubbed “Issuer 42” that formerly belonged to Reverse Mortgage Funding (RMF) — have not changed much.

“There is no evidence of any change in the posture of ‘Issuer 42,’ nor can we know if the new administration has given Ginnie Mae specific guidance with respect to the disposition of the portfolio,” Kelly said.

“So far, Ginnie Mae is following her sister Fannie Mae’s example and letting its reverse mortgage portfolio run off. Issuer 42’s HMBS liability has declined from approximately $21 billion to $14.5 billion in the two-plus years since Ginnie Mae took over the RMF portfolio.”

But Kelly advises that “HECM and HMBS volume will remain weak for the foreseeable future, so long as the initial HECM Mortgage Insurance Premium (MIP) remains high, and the incentive to refinance remains low for many current HECM borrowers.”

Whether you are just starting out as an investor or you are unsure where to begin, it’s helpful to do as much research as possible – especially when there are a whole host of myths floating around. Here are some of the most common misconceptions about property investing and the reasons they aren’t true.

MYTH 1: PROPERTY PRICES ALWAYS GO UP

Prices don’t always go up, says Property Investors Council of Australia chair and co-host of the Property Couch podcast Ben Kingsley. Instead, they tend to go up and down in cycles, driven by the economic activity related to that particular market – namely job opportunities – which drives demand for housing.

“An example of that would be a place like Broken Hill,” he says. “Their property prices peaked many, many decades ago, right in the middle of their mining boom.”

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MYTH 2: IT’S BETTER TO BUY NEW VS EXISTING

While a brand new house might be appealing in terms of liveability, it doesn’t make for a better investment decision, Kingsley says.

“Promoters and property spruikers will get you connected to the freshness, the emotional, seduced nature of a fresh, new property,” he says. “The reality is, it’s the land that appreciates, it’s not the improvements, ie., the dwelling.”

“You’re looking for that land to asset ratio where the percentage of the value is more locked up in the land than it is in the improvement in the land.”

That doesn’t necessarily mean a larger land size, he says, explaining that location of the land is also important.

MYTH 3: OFF MARKET EQUALS OPPORTUNITY

A lot of buyers see off market properties as being good opportunities since there is usually less competition from other buyers, however, they don’t always equate to being good deals, says The Investors Agency CEO Darren Venter. He says it’s important to be careful when doing due diligence and to look for things that may detract from the value of the property, such as electrical transmission lines, proximity to council housing and whether it’s located in a flood zone.

“In a lot of instances, off market properties can hold these traits, where the sellers agents know that an off market title has a bigger attraction to property buyers,” he says. “So people pretty much let go of a lot of criteria and due diligence looking because they’ve heard that it’s off market.”

MYTH 4: ALL PROPERTY TYPES HAVE THE SAME GROWTH

There are several factors that determine price growth, but if you understand the principle that it’s the land where the property is located that goes up in value over time and the dwelling itself that depreciates, “the reality is that the different types of properties that you pick potentially run the risk of not performing as well as other well-located properties,” Kingsley says.

The amount of value you have in the land content can be affected by current and future supply as well as scarcity – which is why purchasing units in a medium to high density setting may be a risky move.

“Apartments saturate themselves very, very quickly and easily,” Venter says. “I would stay far away from apartments and units. The value is always going to be in the land because the land is where the demand is grown from the transactions that happen inside the area where the properties are being purchased.”

He says demand for apartments is generally far lower than housing demand across the country.

“The vacancy rate for housing sits at around 1.1 per cent. The vacancy rate for units sits at around 2.5 per cent,” he says. “When there’s less demand, there’s essentially less competition, which drives price.”

FACT VS FICTION

Property Investors Council of Australia Chair Ben Kingsley suggests keeping these three simple principles in mind when researching property investing in order to help you sort out fact from fiction and keep any spruikers at bay:

1. Supply is the enemy of capital growth

2. Economic activity is essential to drive demand for population and thus housing

3. Owner occupiers are the price makers, investors should be the price takers

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The post Most common property investment myths busted appeared first on realestate.com.au.

San Francisco-based home equity solutions provider Unison announced Monday that it’s lowering the annual percentage rate (APR) on its Equity Sharing Home Loan, an alternative funding vehicle aimed at helping U.S. homeowners tap into record levels of equity.

Unison said in a press release that the move is coming at a time when “Americans face growing economic uncertainty, volatile markets, and mounting household debt.” For borrowers who qualify for the Equity Sharing Home Loan, the lower APR of 5.34% on this product offers “substantial savings compared to traditional second mortgages.”

The company said that for a $100,000 loan through Unison, the 5.34% rate equates to monthly payments as low as $306.

This is roughly one-quarter of the typical monthly payment of $1,222 on a 10-year, closed-end second mortgage at current market rates — or a savings of about $10,000 per year.

Industry data cited by the firm shows that rates for second mortgages tend to run between 8% and 10%. Rates for high-risk borrowers sometimes exceed 12%.

“With economic anxiety on the rise and many Americans worried about their financial future, Unison is offering a lifeline,” Thomas Sponholtz, CEO and chairman of Unison, said in a statement.

“We’re helping homeowners tap into the $35 trillion locked in home equity in a way that provides both immediate relief and long-term stability. When families are facing difficult choices about their finances, our innovative approach delivers breathing room that traditional loans simply can’t match.”

Unison’s Equity Sharing Home Loan was launched in September 2024 and combines the features of a traditional mortgage with those found in the emerging home equity investment (HEI) space.

It is a 10-year, interest-only second mortgage that offers lower monthly payments by splitting interest into ongoing (paid monthly) and deferred (compounded) portions. In exchange for a lump sum payment, borrowers also grant Unison access to a portion of their home’s future appreciation.

The company believes the product is a better option than other methods being utilized by households to deal with urgent financial needs, such as credit cards or early 401(k) withdrawals.

AppraisalVision has restructured its platform into what it describes as the mortgage industry’s first fully autonomous appraisal execution system. This comes on the heels of a new partnership with Alpha7X, an artificial intelligence (AI) firm with a focus on automating mortgage operations.

The shift eliminates the need for traditional software-based appraisal order management systems. It allows AppraisalVision’s technology to manage appraisals from initiation to delivery using AI agents.

“Appraisal order management platforms were built for humans. Alpha7X was built to reduce human intervention while ensuring regulatory and investor compliance,” said Jim Cutillo, founder and CEO of AppraisalVision. “This marks the end of manual appraisal management. The future is autonomous.”

According to the company, the new system powered by Alpha7X enables real-time order execution, appraiser selection based on housing market data, automated report reviews for compliance, and communication between all parties without the need for human involvement.

The platform integrates directly with loan origination systems and valuation models to streamline processes that have traditionally required manual oversight.

With Alpha7X, the AI agents perform a range of tasks that previously required human managers, including resolving report deficiencies and notifying lenders and appraisers of delays or required actions.

“AppraisalVision is now powered by AI that executes every step of the appraisal lifecycle automatically,” the company said, noting improvements in processing speed, costs and data reliability.

AppraisalVision was originally developed to offer automated order and review tools for appraisal management purposes. The company is led by Cutillo, who previously founded and served as CEO of Stonegate Mortgage Corp.

Alpha7X — also founded by Cutillo — develops AI systems aimed at replacing manual workflows across mortgage origination, servicing and fulfillment.