The complete NYC home-buying process, step by step

By Kristina Misailova, Licensed Associate Real Estate Broker, Compass

Buying an apartment in New York City follows a path you will not find anywhere else in the country, with attorneys on both sides, co-op boards, and a few steps that surprise first-time and experienced buyers alike. Here is the whole process, in order.

Step 1: Get pre-approved

Before you tour, get a mortgage pre-approval so you know your real budget. In New York, sellers and co-op boards expect it, and it is what makes your eventual offer credible. If you are paying cash, you will show proof of funds instead.

Step 2: Define your search, and decide co-op or condo

Set your must-haves, neighborhoods, and price range, and decide early whether a co-op or a condo fits your plans, since the two differ in approval, financing, and flexibility. Our guide to co-ops vs condos breaks down the distinction. Commute matters too; the MTA publishes service and route information worth checking against your daily needs.

Step 3: Tour and evaluate the building, not just the apartment

In NYC you are buying into a building as much as a home. Weigh its financial health, rules, and reputation alongside the apartment itself. A beautiful unit in a poorly run building is a worse buy than a plain one in a strong building.

Step 4: Make an offer

Your broker helps you structure a competitive offer. In a co-op, the strength of your finances matters as much as the number, because the board will scrutinize them. Offers here are typically made through agents and are not binding until contracts are signed.

Step 5: Attorney review and contract

Unlike much of the country, essentially every NYC purchase runs through real estate attorneys on both sides. Your attorney reviews the building's financials, the offering plan, and the contract, and handles due diligence. You should always use a licensed agent and a real estate attorney; the New York Department of State licenses the professionals involved. You sign and put down a deposit, usually ten percent, held in escrow.

Step 6: Financing and, for co-ops, the board package

Your loan proceeds to formal approval and appraisal. If you are buying a co-op, you now assemble a detailed board package, financial statements, references, and disclosures, and usually sit for an interview. Condos skip the interview and run a lighter application and board review. This step is the main reason co-op timelines run longer.

Step 7: Closing

Once you have loan and, where applicable, board approval, the attorneys coordinate the closing and the transfer of funds. Budget for your buyer-side closing costs in advance; our NYC closing costs guide lays them out. Then the home is yours.

How long it takes, and what trips people up

From accepted offer to closing often runs around two months for a condo and longer for a co-op because of the board process. The most common pitfalls are shopping before getting pre-approved, judging the apartment while ignoring the building, and underestimating co-op timelines. A prepared buyer avoids all three.

If you want the full picture in one place, download the free Manhattan & Brooklyn Buyer's Guide, or start a conversation about your search.

Frequently asked questions