Closing Costs Can Add Up In Any Market

Basically, closing costs can be broken down into a few categories. First, there are the taxes involved. "New York State tax will be .4 percent of purchase price. New York City tax will be one percent on the purchase up to $500,000 and then 1.425 percent on the purchase over $500,000, and a lot of people don't recognize that," said Moseley. Those are the transfer taxes paid by the seller. Some also... [more]

Basically, closing costs can be broken down into a few categories. First, there are the taxes involved. "New York State tax will be .4 percent of purchase price. New York City tax will be one percent on the purchase up to $500,000 and then 1.425 percent on the purchase over $500,000, and a lot of people don't recognize that," said Moseley. Those are the transfer taxes paid by the seller. Some also have to pay a flip tax if it's a co-op. For buyers, there's the mortgage tax and a title insurance premium if you are buying a condominium or house. There's also a mansion tax of the home you are buying is more than a million dollars. Then there are the fees. "You'll have a move in fee, you'll have a move in deposit, you'll likely have application fees for co-op or condo," said Real Estate attorney Lisa Breier Urban. "You will have mortgage fee, you'll have an appraiser fee, you will have to pay interest from the date of closing to the end of the month of closing, you will have to pay your lawyer." http://www.ny1.com/content/ny1_living/102171/closing-costs-can-add-up-in-any-market/Default.aspx This is SUCH BAD REPORTING. LICComment says that transaction costs don't count as part of buying real estate, because you only have to pay them once. Ha-ha-ha-ha-ha-ha-ha-ha-ha.... [less]