The REBNY Financial Statement — A Manhattan Co-op Buyer's Builder Guide

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The REBNY argument

Every Manhattan cooperative board application includes — and most condominium board applications request — the REBNY Financial Statement, the standardized financial document developed by the Real Estate Board of New York. The REBNY form is, in its current configuration, the canonical financial-disclosure document for residential real estate transactions in Manhattan. It is the form on which the buyer's entire financial profile is presented to the cooperative board; it is the form against which the board's post-closing liquidity analysis, debt-service capacity analysis, and broader financial qualification analysis runs; and it is, more than any other component of the board package, the document that determines whether the board approves or rejects the purchase.

For most Manhattan buyers, the REBNY Financial Statement is also the document they encounter for the first time during the application process — typically four to six weeks before board approval and three to four weeks before closing. The form's structure is dense; its schedules require precise organization; its narrative implications are subtle. A buyer who treats the REBNY Financial Statement as a routine paperwork exercise — checking boxes and listing balances — is making a tactical mistake. The board reads the document carefully; the document tells a story; and the story it tells can be the difference between a smooth board approval and an application that produces follow-up questions, additional documentation requests, or outright rejection.

This guide is the framework The Roebling Team uses to prepare the REBNY Financial Statement for every cooperative transaction we work on. It is built from years of experience seeing what boards look at, what they question, and what they ultimately approve. It is also the framework that, applied carefully, has produced board approvals for clients whose initial financial profile presentations would have raised concerns under a less disciplined approach.

The structural fact: the REBNY Financial Statement is not a passive disclosure document. It is the primary marketing document the buyer uses to present their financial profile to the board. The buyer who prepares it strategically is materially more likely to receive a clean board approval than the buyer who prepares it haphazardly.

What is the REBNY Financial Statement?

The Real Estate Board of New York's Financial Statement is a standardized financial-disclosure form used across the Manhattan residential real estate market. The form is administered by REBNY (the industry trade association); it has been refined across multiple iterations over the past several decades; and it is the dominant standard form across virtually all Manhattan cooperative buildings and most condominium buildings.

The form's structure includes:

Statement of Financial Condition (the balance sheet) — a snapshot of the buyer's assets, liabilities, and net worth as of a specific date

Statement of Income and Expenses (the cash-flow statement) — the buyer's annual income, deductions, and net cash flow

Schedule of Investments — detailed breakdown of marketable securities, retirement accounts, and other investment holdings

Schedule of Real Estate — detailed breakdown of any real estate owned by the buyer, including the current primary residence (which will be sold or remain), investment properties, and any other real estate exposure

Schedule of Closely Held Businesses — detailed breakdown of any private company ownership, partnership interests, or business equity

Schedule of Liabilities — detailed breakdown of debts including the existing mortgage on the current residence, any other real estate debt, margin loans, personal loans, business debts, and other obligations

Notes and disclosures — narrative discussion of complex assets, contingent liabilities, anticipated income, or other matters that require explanation

The form is typically prepared by the buyer with substantial guidance from the buyer's attorney; some buyers also engage a CPA or financial advisor to assist with the preparation. The completed form is signed by the buyer (and by an attesting CPA or attorney in some configurations) and submitted as part of the board application package.

Why every co-op board requires it

The cooperative board uses the REBNY Financial Statement to evaluate the buyer against the building's structural risk-management criteria. The specific analyses the board runs:

Post-closing liquidity analysis. After deducting the down payment, closing costs, and any required reserves from the buyer's total liquid assets, does the remaining liquidity meet the building's post-closing liquidity threshold? (See our separate guide, "What is Post-Closing Liquidity?" for the framework on how boards calibrate this requirement.)

Debt-service capacity analysis. The buyer's annual income, less the buyer's existing fixed obligations (existing mortgages, other debt service, child support, alimony, etc.), divided into the projected total housing cost of the new apartment (mortgage P&I + maintenance + property tax + utilities). Boards typically look for the resulting debt-service coverage ratio to be at least 2:1 — annual income should be at least twice the total annual housing cost — and trophy buildings typically look for higher ratios (3:1 or more).

Net worth analysis. Total assets minus total liabilities. Boards evaluate the buyer's absolute net worth against the apartment purchase price and against the building's broader shareholder roster. Trophy buildings often look for net worth substantially exceeding purchase price.

Asset composition analysis. What portion of the buyer's net worth is in liquid form versus illiquid form? Concentrated in a single asset class (e.g., single-stock concentration in a closely held business) or diversified? Does the asset composition support the post-closing liquidity claim?

Income stability analysis. Is the buyer's income stable and recurring (W-2 employment) or variable (commission, bonus-heavy, deferred compensation, partnership distributions)? Does the income source carry concentration risk (single-employer dependency, single-industry exposure)?

Real estate exposure analysis. Does the buyer carry substantial other real estate debt? Will the buyer be selling the current residence? Is the buyer maintaining other primary or vacation residences that compete for cash flow?

The form, in its various schedules, provides the data for each of these analyses. The board's analysis is structured; the form's preparation should anticipate the analyses the board will run.

The form structure — what each section covers

Statement of Financial Condition (the balance sheet)

The balance sheet section organizes the buyer's assets and liabilities into the standard categories:

Assets:

• Cash and cash equivalents (checking, savings, money market accounts)
• Marketable securities (stocks, bonds, mutual funds, ETFs, US Treasuries — see Schedule of Investments)
• Retirement accounts (401(k), IRA, Roth IRA, 403(b), pension)
• Real estate (primary residence, investment properties — see Schedule of Real Estate)
• Closely held businesses (private company ownership, partnership interests — see Schedule of Closely Held Businesses)
• Personal property (vehicles, art, jewelry, collectibles)
• Other assets (cash value of life insurance, trust interests, etc.)

Liabilities:

• Mortgages on real estate (see Schedule of Liabilities)
• Margin loans (against securities)
• Personal loans
• Credit card balances
• Business loans (where personally guaranteed)
• Other contingent obligations (child support, alimony, tax obligations, etc.)

Net worth = Total Assets minus Total Liabilities

The board's first-order question is: what is the buyer's net worth, and what is its composition? The answer flows directly from this section.

Statement of Income and Expenses

The income section organizes the buyer's annual financial flows:

Income:

• W-2 employment income (base salary plus bonus, three-year history typical)
• Self-employment income (with relevant schedules and tax returns)
• Investment income (interest, dividends, capital gains)
• Rental income (from real estate holdings)
• Partnership / S-Corp distributions
• Trust distributions
• Other recurring income

Expenses / Deductions:

• Federal income tax
• State and local income tax
• Existing housing costs (mortgage, maintenance, property tax on primary residence)
• Child support and alimony
• Insurance premiums
• Other recurring obligations

Net cash flow = Total Income minus Total Expenses

The board's analysis: is the buyer's net cash flow sufficient to absorb the new housing cost without strain? The standard metric is the debt-service coverage ratio (income / annual housing cost on the new apartment); boards typically require 2:1 or higher.

Schedule of Investments

The investments schedule details the buyer's marketable securities and investment holdings:

• Holding name (e.g., "Apple Inc. common stock")
• Account (e.g., "Fidelity brokerage account")
• Quantity held
• Current market value
• Cost basis (where relevant)

The schedule should be comprehensive and current (typically dated within 30 days of the application submission). Boards may request statements supporting the schedule.

Schedule of Real Estate

The real estate schedule details the buyer's real estate holdings:

• Property address
• Property type (primary residence, second home, investment, etc.)
• Current market value (with supporting valuation methodology)
• Outstanding mortgage balance
• Current monthly mortgage payment, property tax, maintenance/HOA
• Net equity in the property

The schedule typically includes the current primary residence (which will be sold or kept) and any investment properties. Boards look carefully at this schedule because real estate concentration risk is a meaningful factor in their underwriting.

Schedule of Closely Held Businesses

If the buyer has ownership in private companies, partnerships, or other closely held businesses, the schedule details:

• Business name
• Business type and industry
• Buyer's ownership percentage
• Buyer's role (active operator, passive investor, etc.)
• Current valuation methodology and current market value
• Annual income / distributions to the buyer
• Any personal guarantees or off-balance-sheet exposure

This schedule is often the most complex and the most consequential. Boards scrutinize closely held business holdings because valuations are subjective, distributions can be variable, and concentration risk can be substantial.

Schedule of Liabilities

The liabilities schedule details the buyer's debt obligations:

• Mortgages on real estate (with property tied to each loan)
• Margin loans (with collateral identified)
• Personal loans (with terms)
• Business loans (with personal guarantee status)
• Credit card balances
• Tax obligations
• Other contingent liabilities

The schedule should be comprehensive; omissions are red flags.

Net worth versus post-closing liquidity

Both figures appear on the REBNY Financial Statement, and buyers occasionally conflate them. The distinction:

Net worth = Total Assets minus Total Liabilities. This is the buyer's absolute financial position. It includes all assets (liquid, semi-liquid, illiquid) and all liabilities (current and contingent).

Post-closing liquidity = Liquid Assets minus Cash Required at Closing. This is the buyer's liquid financial position after closing on the apartment. It includes only assets that can be readily converted to cash (with appropriate discounts for retirement accounts and similar semi-liquid holdings); it excludes real estate equity, illiquid business holdings, and other less-accessible wealth.

The board evaluates both metrics for different purposes. Net worth speaks to the buyer's overall financial scale; post-closing liquidity speaks to the buyer's ability to meet ongoing obligations. A buyer can have high net worth and low post-closing liquidity (concentrated in real estate, private equity, restricted stock) — and this configuration is a structural red flag for the cooperative board even when the net worth headline is impressive.

How to fill out the form cleanly

The form's mechanical preparation matters. The standard best practices:

Use current values, not historical or projected. Marketable securities should be valued at current market price (within 30 days of the application). Real estate should be valued at current market value (with supporting methodology — appraisal, recent comparable sales, or recent purchase price for properties acquired within 12 months). Closely held businesses should be valued at fair market value with supporting methodology.

Document every line item. Every asset and every liability should be supported by current account statements, deeds, loan documents, or other underlying documentation. Boards may request supporting documentation; the buyer should have it organized and ready.

Use realistic methodologies for illiquid assets. Private company equity should be valued using a defensible methodology (recent funding round, recent third-party valuation, multiple-of-revenue or multiple-of-earnings benchmarks against industry comparables). Boards see through aspirational valuations.

Be precise on the income side. Three years of income history is standard; the buyer should be prepared to demonstrate consistency and growth (or to explain variability). Bonus income should be averaged over the three-year window unless the variability is structural.

Include contingent liabilities. Personal guarantees on business loans, alimony and child support, tax obligations, and other contingent claims should be disclosed even if they are not currently being paid. Boards consider these in their underwriting.

Maintain consistency with tax returns. The REBNY Financial Statement should reconcile with the buyer's most recent 2-3 years of tax returns (which are typically also part of the board package). Inconsistencies raise questions.

Sign and date. The form is a sworn financial disclosure. The buyer's signature certifies the accuracy of the information. False or materially misleading disclosure can have legal consequences.

Common mistakes

In our practice, the most common REBNY Financial Statement mistakes:

Overstating asset values. Buyers occasionally inflate the value of illiquid assets (private equity, restricted stock, real estate) to strengthen the headline net worth. Boards see through this consistently — and the inflated valuation undermines the buyer's overall credibility on the form.

Understating expenses. Buyers occasionally omit recurring expenses (gym memberships, school tuition, lifestyle expenses) to inflate net cash flow. The omissions are red flags when the board reconciles the form with the tax returns and bank statements.

Missing schedules. Buyers occasionally submit the form without complete supporting schedules (Schedule of Investments, Schedule of Real Estate, Schedule of Closely Held Businesses). The omissions produce follow-up requests that delay the board's review.

Mixing primary residence and investment property values. Buyers occasionally fail to distinguish between primary residence (which will be sold or retained — the board cares about both scenarios) and investment property (which carries different cash flow and valuation implications). The form requires both to be clearly identified.

Failing to document anticipated transactions. Buyers planning to sell their existing primary residence to fund the new purchase should clearly document the planned sale (listing, contract, expected closing) and the resulting cash availability. Boards want to see the bridge from current financial position to post-closing position.

Overlooking the cash-required-at-closing calculation. The post-closing liquidity figure depends on this calculation; buyers occasionally fail to deduct the full cash required at closing from liquid assets, resulting in a misstated post-closing liquidity figure.

Submitting outdated documents. Account statements should be current (within 30-60 days); older statements raise questions about the buyer's current financial position.

Handling complex assets

Manhattan buyers — particularly trophy-tier buyers — often have asset profiles that include complex holdings. The standard treatment:

Trusts

If the buyer is a beneficiary of a trust, the trust interest should be disclosed and documented. The board will want to understand:

• Is the trust revocable or irrevocable?
• What is the buyer's interest (income beneficiary, principal beneficiary, both)?
• Are distributions discretionary or mandatory?
• What is the value of the trust assets and the buyer's interest in them?

Trust interests are typically discounted in the board's underwriting (a buyer's interest in a discretionary trust is less reliable than direct asset ownership), but well-documented trust interests can still be valuable to the financial profile.

Private equity and venture capital LP positions

Limited partnership interests in private equity, venture capital, or hedge funds should be disclosed with current capital account balance, vintage, expected liquidity date, and recent capital calls / distributions. Boards typically discount these holdings substantially (often to 50 percent of capital account balance or less) because they are illiquid.

Restricted stock and unvested options

Vested restricted stock should be valued at current market price (typically with a small discount for trading window restrictions). Unvested options or RSUs should be disclosed as contingent assets with realistic vesting schedules and expected liquidity timing. Boards typically do not credit unvested compensation toward post-closing liquidity but may consider it in the broader net worth picture.

Deferred compensation

Deferred compensation accounts (typically held by employer until separation) should be disclosed with vesting status, distribution timing, and tax treatment at distribution. Boards typically discount these substantially because access is constrained.

Cryptocurrency and digital assets

Cryptocurrency holdings should be disclosed at current market value. Boards' treatment of cryptocurrency varies widely — some boards apply substantial discounts (reflecting volatility), others apply discounts comparable to public equities, others exclude cryptocurrency from the liquidity calculation entirely.

Closely held business equity

Private company ownership should be valued using a defensible methodology and the methodology should be disclosed. Recent third-party valuations (financing rounds, M&A transactions) are most credible; multiple-based valuations against industry comparables are also commonly used.

Handling gifts and parental support

Many Manhattan buyers — particularly first-time buyers and younger buyers — receive financial support from family members, often through gifts toward the down payment, parental cosigning, or family loans. The standard treatment:

Gifts. Gifts toward the down payment should be documented with a formal gift letter from the donor confirming that the funds are a gift (not a loan), that no repayment is expected, and that the donor has the capacity to make the gift. The gift should be deposited in the buyer's account and seasoned (typically 60-90 days) before the application is submitted. Boards may also request documentation of the donor's financial capacity.

Parental cosigning. Some buyers structure the purchase with a parent as cosigner on the mortgage. Cooperative boards' treatment of cosigner arrangements varies: some buildings permit cosigners on the financial qualification (treating the cosigner's income and assets as supplementing the primary buyer's), some buildings require the cosigner to be on the proprietary lease (becoming a co-shareholder), some buildings disfavor cosigning arrangements outright. The building's specific policy should be confirmed before structuring the transaction.

Family loans. Family loans toward the down payment or purchase create liabilities on the financial statement and reduce the buyer's net worth. The loans should be documented with proper terms (interest rate, repayment schedule, security if any) and disclosed on the Schedule of Liabilities. Boards generally view family loans less favorably than gifts because the loan creates an ongoing obligation.

Parental purchase ("parents-buying-for-children"). In some configurations, parents purchase the apartment directly with their adult child as resident. The building's policy on this configuration varies: some buildings permit parental purchase outright, some require the resident child to also be on the proprietary lease, some prohibit the configuration. The building's specific policy should be confirmed.

The strategic implication: family financial support is common and acceptable in Manhattan transactions, but the structure matters. The buyer (and their attorney) should understand the building's specific policy and structure the financial profile to fit.

The strategic narrative

The REBNY Financial Statement is, in trophy-tier transactions especially, a financial narrative document — not merely a list of numbers. The board's reading of the form is shaped by the story the form tells about the buyer.

The narrative components:

Income trajectory. Three years of rising income tells a story of professional advancement and financial growth. Three years of flat income tells a different story. The board is reading both the absolute level and the trajectory.

Asset accumulation. A buyer who has built net worth steadily over time presents a different profile than a buyer whose net worth derives from a single liquidity event (sale of business, large inheritance). Boards understand both profiles but interpret them differently.

Career stability. Stable employment with a recognizable employer, stable industry exposure, and a stable income source typically presents better than recently changed employment, industry transitions, or recent independent-consulting arrangements.

Real estate experience. Buyers who already own real estate (and have managed maintenance, taxes, and mortgages successfully) present better than first-time real estate owners. The board reads the existing real estate ownership as evidence of capacity.

Family situation. Married buyers, buyers with children, and buyers with established Manhattan family context present differently than single buyers or buyers without local family roots. None is inherently better or worse, but the narrative implications differ.

Plans for the apartment. Buyers using the apartment as primary residence present differently than pied-à-terre buyers or investment buyers. The board's underwriting considers the planned use case in evaluating the broader financial profile.

The form's preparation should anticipate these narrative elements and present the buyer's profile in the most favorable defensible light — without misrepresenting any specific fact.

The Roebling Team perspective

The Roebling Team at Compass works on the preparation of the REBNY Financial Statement for every cooperative client we represent. Our practical experience: the form's strategic preparation is, in most cooperative transactions, the difference between a clean board approval and an application that produces follow-up questions or, in worse cases, rejection.

We work closely with our clients' attorneys, CPAs, and financial advisors on the form's preparation. The standard approach: an initial draft prepared by the client and the client's CPA, review by the client's attorney for legal sufficiency, and a strategic review by the Roebling Team for board-package narrative fit. The iterative process typically produces a final form that is both substantively accurate and strategically positioned.

For buyers preparing for a Manhattan cooperative transaction, the right starting point is the REBNY Financial Statement framework applied to the specific buyer profile and the specific building's requirements. From there, the rest of the application follows.

Considering a Manhattan cooperative purchase?

The Roebling Team at Compass specializes in Manhattan cooperative transactions. We work with clients on every step of the board application process — including the REBNY Financial Statement preparation, the broader board package strategy, and the board interview preparation. If you're preparing for a cooperative purchase, a 30-minute consultation is the right starting point.

Schedule a consultation →

Corey Cohen, Principal The Roebling Team at Compass 646.939.7375 · c.cohen@compass.com

Run the numbers

• REBNY Financial Statement Builder — full board-ready form preparation
• Post-Closing Liquidity Calculator
• True Monthly Carrying Cost Calculator
• Co-op Financial Health Analyzer

Related guides

• Manhattan Co-op Buying Guide — Pillar 4
• What is Post-Closing Liquidity?
• Co-op Financial Health Analyzer Guide
• True Monthly Carrying Cost

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This guide reflects publicly available information, board application norms current as of May 2026, and The Roebling Team transaction experience. Specific board requirements vary by building and change over time; buyers should verify specific building standards with the listing agent, the managing agent, and a cooperative attorney before preparing the REBNY Financial Statement for a specific transaction. The REBNY Financial Statement is a sworn financial disclosure; false or materially misleading disclosures can have legal consequences. The Roebling Team at Compass does not provide tax, legal, accounting, or financial advice; specific transactions should be reviewed with qualified professionals. © 2026 The Roebling Team at Compass.

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