First-Time Home Buyer's Guide to NYC

Every first-time buyer in New York City discovers the same thing eventually: this market is not like anywhere else. The terminology is different. The property types are different. The closing process is more complex. The costs are higher than expected. And the stakes — both financial and emotional — are significant.

None of that means buying your first home in Manhattan or Brooklyn is out of reach. But it does mean that going in without a clear understanding of the process, the costs, and the decisions ahead of you is a real disadvantage.

At The Miller Markowicz Team at Corcoran, Andreea Miller and Steven Markowicz have guided many first-time buyers through their first NYC purchase — from understanding the difference between a condo and a co-op, to navigating board packages, to closing confidently on the right home. This guide is designed to give first-time buyers an honest, complete picture of what the process actually looks like in 2026.

If you have bought a home in another city — or watched friends or family do it — the NYC process will feel unfamiliar in several important ways.

• Two very different property types: Condominiums and co-operatives are the dominant apartment ownership structures in Manhattan and Brooklyn. They are fundamentally different in ownership structure, approval process, financing rules, and monthly costs. Understanding the difference is not optional — it is the foundation of your search.
• No binding contracts from accepted offers: In NYC, an accepted offer is not legally binding. Either party can walk away until both sides have signed the purchase contract. Speed between accepted offer and signed contract matters — especially in competitive situations.
• Attorneys are not optional: Real estate attorneys are standard and expected in NYC transactions. Unlike many markets where title companies handle closings, NYC buyers and sellers each have their own attorney. Your attorney reviews the contract, the building documents, title, violations, and guides you through to closing.
• Closing costs are significantly higher: NYC has some of the highest buyer closing costs in the country — including the mansion tax on purchases of $1M or more, mortgage recording tax, title insurance, and attorney fees. Budget 2–5% of the purchase price in closing costs beyond your down payment.
• Co-op board approval is a real variable: For co-op purchases — which make up a majority of the apartment stock in Manhattan — board approval is required. The board reviews your financials, your references, and in many buildings will interview you. A well-qualified buyer can still be rejected. This is a factor to understand before you search.

In New York City, pre-approval is not a formality — it is the foundation of your credibility as a buyer. Sellers and their agents will not take your offer seriously without a current pre-approval letter from a recognized lender. And if you find the right apartment without being financially ready to move, you will lose it to someone who is.

Pre-approval tells you what you can borrow based on your income, assets, debts, and credit profile. It also identifies any issues — gaps in documentation, questions about income stability, credit items to address — before they become problems at the contract stage.

For co-op purchases specifically, lenders experienced in NYC co-op financing matter. Not every lender is comfortable with co-op transactions — and a lender who fumbles the process can cost you the deal. We maintain relationships with lenders who are co-op specialists and can move quickly when the right apartment appears.

Before you begin searching, you need to understand the difference between a condominium and a co-operative — because it changes everything about how you search, what you pay, how you finance, and what rules you live under.

In a condo, you own real property — the apartment itself — and receive a deed at closing. In a co-op, you own shares in a corporation that owns the building, and those shares give you the right to occupy a specific unit through a proprietary lease.

For a deeper look at this decision — including the advantages and trade-offs of each, neighborhood breakdowns, and specific scenarios — read our complete NYC Condo vs. Co-op Buyer's Guide.

Once you are pre-approved and clear on what type of property you are looking for, the search can begin. In NYC, most buyers start on StreetEasy — the dominant listing platform for Manhattan and Brooklyn. But the listings you see online are only part of the picture.

A strong buyer's agent brings you access to off-market opportunities, insight into which buildings perform well over time, context on how quickly certain properties are moving, and the ability to move decisively when the right apartment surfaces. In competitive segments, the best apartments are gone before most buyers on StreetEasy know they exist.

Define your priorities before you start. Size, neighborhood, floor, views, light, building amenities, pet policy, sublet rules, outdoor space, proximity to transit, and price are all variables. Understand which ones are non-negotiable and which ones you can flex — and revisit that list as you see more inventory. The market has a way of teaching buyers what they actually want versus what they thought they wanted.

When you find the right apartment, your agent will help you determine an offer price based on comparable sales, active competition, days on market, and any known seller motivations. In NYC, offers are typically submitted in writing along with your pre-approval letter.

An offer is not just a price. Here is what a complete offer includes:

Once a seller accepts your offer, both attorneys begin the contract process. The seller's attorney drafts the purchase contract and sends it to your attorney for review. This phase typically takes 1–2 weeks — sometimes longer if there are complex issues to negotiate.

Your attorney will review the contract terms, building documents (offering plan, financials, house rules, proprietary lease for co-ops), title history, any open violations, and all other relevant disclosures. They will negotiate on your behalf for changes to the contract terms where appropriate.

When the contract is fully negotiated and signed by both parties, you will wire a deposit — typically 10% of the purchase price — into escrow. At this point, the contract is binding. Until both sides sign, either party can walk away.

After the contract is signed, co-op buyers must complete and submit a board application. This is the most unique and sometimes most stressful part of buying a co-op in New York City.

A co-op board package typically includes: two to three years of tax returns, bank statements, investment account statements, a personal financial statement, employment verification, reference letters (personal and professional), and sometimes a questionnaire about your intended use of the apartment.

Some boards conduct in-person or virtual interviews. The tone is typically conversational — boards want to understand who you are as a future neighbor, not just as a financial profile. Dress appropriately, be straightforward, and let your agent help you prepare.

Condo boards typically have a right of first refusal rather than full approval authority — meaning they can choose to purchase the apartment themselves at the agreed price, but in practice this rarely happens. Condo board review is generally a formality.

Closing day is when the transaction is completed, funds are transferred, and ownership changes hands. In NYC, closings typically take place at a title company or attorneys' office, with the buyer's attorney, seller's attorney, representatives of both lenders (if applicable), and sometimes the buyer and seller present.

Before closing, you will receive a closing disclosure from your lender showing the final loan terms and all costs. Review it carefully against your earlier estimates. Wire your closing funds — down payment plus closing costs — to your attorney's escrow account before closing day.

Do a final walkthrough of the apartment within 24–48 hours of closing to confirm it is in the agreed condition — appliances working, no new damage, personal property removed as agreed.

At closing, you will sign a significant amount of paperwork — your lender documents, transfer documents, and building-specific forms. Your attorney walks you through each one. When everything is signed and funds are disbursed, you receive your keys. You are a homeowner in New York City.

At The Miller Markowicz Team at Corcoran, we love working with first-time buyers. Not because it is easy — the opposite, actually. First-time buyers need more explanation, more patience, and a genuine commitment to making sure they understand every decision they are making. That is exactly how we approach it.

Andreea Miller brings analytical depth, market expertise, and design sensibility to the search and evaluation process. She helps first-time buyers understand value clearly — what makes one building better than another, what layouts live well, and what to look for beyond the photos.

Steven Markowicz brings the steady, communicative, hospitality-oriented presence that first-time buyers particularly need. He stays in constant contact, helps clients feel grounded when the process feels stressful, and manages the transaction details so nothing falls through the cracks.

Together, we work to make sure that every first-time buyer we represent finishes the process feeling informed, confident, and well-served — not just closed. We want you to love where you live and feel great about the decision you made.

Buying your first home in New York City is one of the most significant financial and personal decisions you will make. It is complex, it is layered, and it requires more preparation than most first-time buyers expect going in. But it is absolutely achievable — and when you close on the right apartment, it is extraordinary.

The key is preparation. Know your finances before you search. Get pre-approved before you fall in love with an apartment. Have your attorney ready. Understand your closing costs. Know the difference between a condo and a co-op. And work with a buyer's agent who will tell you the truth, not just what you want to hear.

If you are considering your first purchase in Manhattan or Brooklyn — at any stage, whether you are six months away or starting tomorrow — we would be glad to walk you through the process and help you build a smart, confident path forward.