Closing Costs Breakdown for Sellers
In addition to any real estate broker commissions you may be responsible for, there are title expense associated with the sale of a property. Let's take a look at what they are.
In addition to any real estate broker commissions you may be responsible for, there are title expense associated with the sale of a property. These expenses are those required to complete the transfer of title and to record the necessary documents associated with the closing. They include:
Whenever property is transferred in New York State, the State transfer tax is due from you at the time the new deed is recorded. The State tax is $2.00 for every $500.00 of the selling price. If the property is in New York City, you must also pay NYC Real Property Transfer Tax (RPT). For most properties (sales less than$500,000.00), the RPT is 1% of the sale price.
Satisfaction of Mortgage(s)
Don’t forget that you may have a mortgage, home equity line of credit, or other liens to satisfy from the proceeds of your sale. Additionally, you are obligated to pay a fee to the County Clerk to record the original Satisfaction of Mortgage. This one-time expense which varies according to county.
Title Closer Gratuity
It is customary to give the title company’s representative a gratuity for handling the closing. This fee ranges from $100.00 to $200.00 depending on the closer.