Closing Cost — Condo

 

Please note that numbers are estimates only and should be used as guideline. Buyers and sellers should consult their counsel for precise and accurate closing closts.

 

For the Seller:

 

Application/Waiver Fee:

~ $500 – $1,800

Brokerage Commission:                         

Typically 6% of Sales Price

Seller’s Attorney’s Fee:                           

Consult your attorney

Move-Out Deposit – refundable:         

$500 - $1,500

Move-Out Fee – non-refundable:        

$250 - $1,500

NYC Real Property Transfer Tax:        

Residential:

1% of Sales Price – $499,999.99 or less 

1.425% of Sales Price – greater than  $500,000

Commercial:

1.425% of Sales Price – $499,999.99 or less

2.625% of Sales Price- greater than $500,000

NYS Real Property Transfer Tax:

Residential:

$2 per $500 of Conveyance Price – $2,999,999.99 or less 

$3.25 per $500 of Conveyance Price – greater than  $3,000,000 (in NYC only)

Commercial:

$2 per $500 of Conveyance Price – $1,999,999.99 or less 

$3.25 per $500 of Conveyance Price – greater than  $2,000,000 (in NYC only)

NYS Estimated Capital Gains Tax:       

Every year cap rate is different, consult your CPA. Paid at closing unless (i) $250,000 of gain (for single) or $500,000 of gain (for married couples) if the home is seller’s primary residence, and owned for at least two years; seller have lived in the home for two out of the five years before the sale (ii) Seller has set up a 1031 Tax-Deferred Exchange (investment property only)

Real Estate Tax and Common Charge Adjustment: 

Not really a “closing cost”. Seller reimburses Purchaser for the portion of maintenance and/or Real Estate Taxes that the Seller failed to pay prior to Closing

Transfer Tax Filing Fee:                            

~$75

Federal Withholding Tax (FIRPTA) :   

10% of Sale Price if Seller is a non-resident foreigner

 

For the Purchaser:

 

Purchase Application Fee:                       

$500- $1,000

Purchaser’s Attorney Fee:                       

Consult your attorney

Move-In Deposit – refundable:              

$500- $1,000

Move-In Fee – non-refundable:             

$250- $1,000

Appraisal Fee:             

$300- $1,500 (depends on sales price)

Title Insurance – Owner’s Policy:          

Approximately $4 per $1,000 of insurance (fee regulated by statute) plus various search and recording fees totaling an additional $1,000. Consult your attorney.

Muni Search:

$350- $500

Title Insurance – Mortgage:                   

Only applies if the Purchaser is obtaining financing – variable depending on loan amount. Consult your attorney

New York State Mortgage Recording Tax:

Residential:

1.80%, if mortgage amount is less than $499,999.99

1.925% if mortgage amount is greater than $500,000

Commercial:

2.05%, if mortgage amount is less than $499,999.99

2.80% if mortgage amount is greater than $500,000

Title Closer Gratuity:                                

~$250 Consult with your attorney

Bank Fees (only applicable if Purchaser is obtaining a loan):

Include items such as discount points, appraisal fee, origination fee, credit report fee, document preparation fee, courier fee, application fee Variable depending on lender and loan product.

Real Estate Tax and Common Charge Adjustment:

Not  “closing cost”, however purchaser reimburses seller for portion of common charges and real estate taxes that seller pre-paid

Mansion Tax:                                             

1% of purchase price if sales price is $1,000,000- $1,999,999

1.25% of purchase price if sales price is $2,000,000- $2,999,999

1.50% of purchase price if sales price is $3,000,000- $4,999,999

2.25% of purchase price if sales price is $5,000,000- $9,999,999

3.25% of purchase price if sales price is $10,000,000- $14,999,999

3.50% of purchase price if sales price is $15,000,000- $19,999,999

3.75% of purchase price if sales price is $20,000,000- $24,999,999

3.90% of purchase price if sales price is $25,000,000 or more

If purchase is from sponsor, following are additional cost for buyers:

 

Sponsor Attorney’s Fee:                       

Consult your attorney

Sponsor’s NYC and NYS Transfer Taxes: 

Calculated and added to the Purchase Price (to arrive at the tax) and then recalculated based upon the grossed-up price (may trigger Mansion Tax)

Working Capital Fund:                       

Contribution   1 – 2 months of Common Charges

 

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