How often do the monthly fees change?
Monthly membership fees are reviewed annually by the Board of Directors and may be adjusted annually.
How much does it cost to buy at Mueller Gardens?
Please call the Housing Manager for current share prices.
Does the cost of my membership investment earn equity?
Yes. The equity is based on a variable percentage of the original construction cost., which is then added annually to the membership cost. The annual equity is preset and is accrued every April 25th.
How are the funds from the Member SHARES used?
The original share payments were used to secure HUD-guaranteed loan. SHARE monies do not earn interest, however, they accrue equity. Today, the purchase of one SHARE is the money that will make up the payment that goes to the seller of the SHARE.
What do monthly fees cover?
Mueller Gardens monthly fees cover: mortgage principal, interest and insurance premium (tax deduction available on MI), real estate taxes (homestead) (tax deduction available) gas heat in unit, professional management, telephone, internet, DirectTV, water, sewer, trash removal, recycling, grounds upkeep, snow removal, building maintenance, common area gas and electricity, lender-required operational and replacement reserves: covers overall building repair/maintenance, normal wear & tear on in-home appliances and carpet, building and common area insurance, including fire and liability.
Today, approximately 50% of the monthly fee pays for master mortgage, mortgage interest and mortgage insurance premium, 35% of the monthly fee pays for operation and maintenance of the Cooperative, 10% pays for taxes and insurance, 3% pays for Replacement Reserves (required by HUD) and 2% go to Operative Reserves.
Members are responsible for their own separately-metered electricity and indoor heated parking. (garages are $40/month)
Is there a waiting list?
Yes. Mueller Gardens maintains a Waiting List. To join the Waiting List you must complete an application and submit it along with a fully-refundable, $200 deposit. You do not need to be 55 years of age to "apply" to be on the Waiting List; only to occupy.
What happens when I want to sell my membership in the Cooperative?
The Housing Manager prepares the proper documents and handles the transaction.
Ownership & Taxes
The Cooperative Corporation owns and operates a housing cooperative. The Member purchases and is the owner and holder of a Certificate of Membership of the Cooperative.
There are tax benefits for members who have taxable income and file a federal income tax return. Members may deduct their share of the cooperative's mortgage interest and real estate taxes on their personal income tax return. Members have the same ability to exclude gain on sale of their cooperative interest from taxation as any homeowner.
In most instances, the cooperative and its members receive the same benefit as single-family homeowners
Change Your Address & Change Your Lifestyle
At Realife Cooperative at Mueller Gardens, our goal is to give all of our residents the best value and the most for their money.
Monthly Fees – fees cover the mortgage payment, real estate taxes, operating expenses, lender required reserves, as well as interior and exterior maintenance. Share costs and monthly fees vary with the size of the floor plan. At Realife Cooperative at Mueller Gardens, there are 50 units.
Indoor heated parking is available at an additional cost of $40/month
Please see current share costs and monthly fees following:
*Membership Fees are reviewed annually by Board of Directors and may be adjusted
*Share prices increase by the limited equity amount annually on May 1st
Purchased Share Price +
(Annual Re-Sale Increase X # of years owning the share)
= Your Selling Price
Example: Mr. Smith heard about Realife cooperative from a friend. After learning more, Mr. Smith decided to move into the cooperative. He found that a F unit suited his needs best. He purchased the F share at $55,180.00. Ten years later, Mr. Smith decided that he has had enough of the Minnesota cold weather and that he was going to move to Arizona. Mr. Smith gave his written notice to the on-site manager and calculated his selling price.
$55,180 (Purchased Share Price - F Unit)
+ $11,980 (Total Amount of Equity Earned Over 10 Years) ($1,198 x 10 years)
= $67,160 Selling Price