This closing costs guide is intended to provide an overview of the typical costs related to the sale or purchase of a house, condominium or cooperative.

Please note that the information in this guide doesn’t represent all possible costs and these are merely estimates. Potential sellers and purchasers should absolutely consult their real estate attorney.

HOUSE PROPERTIES

PURCHASER CLOSING COSTS

TITLE

Fee Title Insurance:

Varies depending on purchase price but regulated by NYS. Best to use an online rate calculator from any reputable title company website.

Mortgage Title Insurance:

Reduced rate applies for simultaneous Purchase and Mortgage (if applicable). Also, best to use online rate calculator for sake of accuracy.

NYS Equalization Filing Fee:

$125 (for one to three family and condo)

Recording Fees:

$250-$750 (higher in Nassau & Suffolk Counties)

Municipal Search:

$350-$500)

Title Endorsements:

$75-$150

 

INSURANCE

Homeowner’s Policy Required by Lender:

Costs will vary depending on coverage selected by borrower/purchaser. Check with insurance agent.

TAXES

Mansion Tax (for transfers in NYC):

Purchase Price
Under $1 million
At least $1 million, but less than $2 million
At least $2 million, but less than $3 million
At least $3 million, but less than $5 million
At least $5 million, but less than $10 million
At least $10 million, but less than $15 million
At least $15 million, but less than $20 million
At least $20 million, but less than $25 million
At least $25 million

Mansion Tax Rate
Not subject to tax
1%
1.25%
1.5%
2.25%
3.25%
3.5%
3.75%
3.9%

 

Mansion Tax (for transfers in cities other than NYC):

Where purchase price is at least $1 million, 1%

NYC Mortgage Tax (paid by borrower):

If applicable:

Mortgage less than $500,000 = 1.80% of mortgage amount (minus $30 for 1 or 2 family dwellings)

Mortgage $500,000 and above on 1-3 family residential dwelling = 1.925% of mortgage amount (minus $30 for 1 or 2 family dwellings)

Mortgage on all other property $500,000 and over = 2.80% of mortgage amount

NYC Mortgage Tax Exemption (CEMA):

Ask your attorney if a CEMA can help you avoid a portion of mortgage tax)

Peconic Bay Region Transfer Tax:

If applicable: 2% of purchase price paid by

Purchaser (exemptions: first $250,000 for improved property in Shelter Island, Southampton and East Hampton; first

$150,000 for improved property in Riverhead and Southold; first $100,000 for unimproved property in Shelter Island, Southampton and East Hampton; first

$75,000 for unimproved property in Riverhead and Southold)

LEGAL

Purchaser’s Attorney:

$2,500-$3,500

 

Bank Attorney:

$850-$1,500 (if applicable)

SELLER CLOSING COSTS

NYC Transfer Tax:

Residential:

$500,000 or below = 1% of purchase price
Above $500,000 = 1.425% of purchase price

Commercial:

$500,000 or below =1.425% of purchase price
Above $500,000 = 2.625% of purchase price

NYC Transfer Tax (for transfers in NYC):

Residential:

Below $3 million = .4% of purchase price
$3 million or above = .65% of purchase price

Commercial:

Below $2 million = .4% of purchase price
$2 million or above = .65% of purchase price

NYS Transfer Tax (for transfers in cities other than NYC):

$4 per $1,000 of purchase price (.4% of purchase price)

NYS Estimated Capital Gains Tax:

8.82% of estimated gain at closing
ONLY applies to Non-NYS resident seller at time of sale

Federal Withholding Tax (FIRPTA):

10%-15% of purchase price for non-exempt Foreign Seller

Title Closer Pick-up/Payoff Fee (PER MORTGAGE):

$250 (estimated)

Federal Withholding Tax (FIRPTA):

10%-15% of purchase price for non-exempt Foreign Seller

Broker:

Generally 6% of purchase price

Seller’s Attorney:

$2,500-$3,500

Property Condition Disclosure Credit:

$500 (unless exempt)

CONDOMINIUM PROPERTIES

SELLER CLOSING COSTS