| Transfer tax | State transfer tax $4.00 per $1,000 (0.4%); an additional mansion tax applies to residential sales of $1 million or more (1% on $1M-$2M, graduated to 3.9% at $25M+). New York City adds its own transfer tax of 1% to 2.625%. |
|---|---|
| Usually paid by | Seller pays transfer tax; buyer pays mansion tax (customary) |
| Mortgage tax | Mortgage recording tax 0.5% to about 2.8% depending on county and loan size (borrower-paid). |
| Attorney at closing | Required |
| Recording | Recording fees are set by the county clerk; New York City recording fees are higher than upstate. Verify locally. |
What drives your total
Lender fees, title insurance, prepaid taxes and insurance, and any points you buy move the number most. On a $400,000 purchase, 2–5% means roughly $8,000–$20,000 at the table, your Loan Estimate itemizes every dollar three business days before closing.
Ways to reduce cash to close
- Seller credits (negotiated in the contract, program limits apply)
- Lender credits in exchange for a slightly higher rate
- Down payment assistance programs where available
- Closing on time, per-diem interest accrues daily
Sources: Tax Foundation 2026 (2024 ACS); NY Tax Dept. (mansion tax graduated 2019). Figures are typical ranges, not quotes.
FAQ
How much are closing costs in New York?
Buyer closing costs in New York typically run 2–5% of the purchase price. State-specific items include: State transfer tax $4.00 per $1,000 (0.4%); an additional mansion tax applies to residential sales of $1 million or more (1% on $1M-$2M, graduated to 3.9% at $25M+). New York City adds its own transfer tax of 1% to 2.625%. Mortgage tax: Mortgage recording tax 0.5% to about 2.8% depending on county and loan size (borrower-paid).
Who pays transfer tax in New York?
Customarily the seller pays transfer tax; buyer pays mansion tax (customary) pays the transfer tax in New York, though it is negotiable in the contract.
Does New York require an attorney at closing?
Yes, New York is an attorney-closing state, so budget for attorney fees at the closing table.