Penn South

Maximum allowable income for an apartment is calculated on a formula set by the New York City Department of Housing Preservation and Development (HPD). Annual (monthly x 12) carrying charges, plus a $55 allowance per room for painting and repairs, electricity charges, six percent of equity paid and six percent of Debenture Bonds (for cooperators who own bonds) are totaled and multiplied by seven to arrive at annual allowable income.

Income consists of the federal adjusted gross income of each person residing in the apartment (other than full-time students under age 21) as shown on Line 18 of the New York State Income Tax Form IT-201 (Long Form) or Line 8 of Form IT-200 (Short Form), less the first $20,000 of income of any secondary wage earner, $1,000 for each taxpayer or dependent, any taxable Social Security benefits and deductible medical or dental expenses if itemized.

Applicants with income up to 50% above maximum allowable income will be eligible for an apartment but will be subject to a surcharge. Because equity varies by apartment and from year to year, we cannot estimate the actual equity to be paid until the time when you are called for a specific apartment.

Q:	When the waiting list was updated, I noticed that my number on the list went from a lower number to a higher number, that is, the number of applicants ahead of me on the list increased instead of decreased. How is that possible?

A:	In June of 2005, the housing company re-activated all those applicants who had been on "freeze" for 5 years or longer. These people were automatically reinstated on the waiting lists in their original order. Therefore, those applicants added in later years will fall back on the list as applicants are reactivated. In addition, internal requests for transfers are given priority on the waiting lists.

Q:	When I am offered an apartment, can I turn down an apartment I do not like? How many apartments can I turn down?

A:	If you turn down three apartments you will be removed from the waiting list. You will only be counted as "refusing" an apartment if all the individuals above you on the waiting list have also refused the apartment. For example, your "refusal" will not count against you if you are number ten on the waiting list and the number three applicant accepts the apartment.

Q:	If there are 100 applicants ahead of me on the one-bedroom waiting list, why am I being called to look at apartments and told that I am tenth on the list?

A:	Some applicants on the internal list may have asked for a specific apartment or type of apartment, and/or some apartments may have already been refused by others on the waiting list.

Q:	Should I refuse an apartment because I am waiting for a specific apartment or building?

A:	There are both internal and external waiting lists for apartments. Shareholders on the internal lists get preference over external waiting list applicants and have the option of specifying the location of the apartment they want. Thus, certain apartments may seldom be offered to waiting list applicants, such as apartments in popular buildings, on high floors or with extra large terraces. The more you restrict your application by specifying a specific apartment, the longer the wait is likely to be.

Q:	What is the maximum allowable income for an apartment in Penn South?

A:	Maximum allowable income for an apartment is calculated on a formula set by the New York City Department of Housing Preservation and Development (HPD). Annual (monthly x 12) carrying charges, plus a $55 allowance per room for painting and repairs, electricity charges, six percent of equity paid and six percent of Debenture Bonds (for cooperators who own bonds) are totaled and multiplied by seven to arrive at annual allowable income. Income consists of the federal adjusted gross income of each person residing in the apartment (other than full-time students under age 21) as shown on Line 18 of the New York State Income Tax Form IT-201 (Long Form) or Line 8 of Form IT-200 (Short Form), less the first $20,000 of income of any secondary wage earner, $1,000 for each taxpayer or dependent, any taxable Social Security benefits and deductible medical or dental expenses if itemized. Applicants with income up to 50% above maximum allowable income will be eligible for an apartment but will be subject to a surcharge. Because equity varies by apartment and from year to year, we cannot estimate the actual equity to be paid until the time when you are called for a specific apartment.

Q:	What is the rule for changing from one apartment waiting list to another for applicants who were selected by lottery?

A:	Applicants on the external apartment waiting list who were selected by lottery in either 1996 or 2003 and who want to change from one list to another will be put at the end of the list they want to change to. No exceptions will be made based on whether the move is to a smaller or larger apartment or based on eligibility. Please be aware that there are eligibility requirements for each size apartment. * Studios are for 1 to 2 people. * One-bedroom apartments are for 1 to 3 persons. * Two-bedroom apartments are for at least 3 people, unless it is a single parent with one child. * Three-bedroom apartments are for no fewer than 4 persons. No substitutions are allowed for adding a person not listed on the original application. If your family composition changes while you are waiting for an apartment, you may no longer be eligible for the size apartment originally requested. In that case, you will be placed at the end of the appropriate list.

Q:	What does it cost to purchase shares for an apartment in Penn South?

A:	As of September 1, 2011 there was a significant increase in apartment pricing to approximately $19,800 per room. As an example, a 3.5-room apartment (one bedroom, kitchen, living room and dining area) will be approximately $69,300. Equity may be financed up to 50% with an approved institutional lender taking a security interest. The Penn South Credit Union is an approved lender.

EXTERNAL WAITING LIST FAQ