What this calculator does
This calculator estimates closing costs for both sides of a New York City home sale, separating lender and title fees from government taxes. New York City has some of the highest closing taxes in the country. Buyers of homes at $1 million or more pay the mansion tax (1% rising to 3.9%), and borrowers pay mortgage recording tax of 1.8% or 1.925% on condo and house loans (co-op loans are exempt). Sellers usually pay the NYC Real Property Transfer Tax (1% or 1.425%) and New York State transfer tax (0.4%, or 0.65% on residential sales of $3 million or more).
How to use it
- Enter the price and down payment.
- Keep or adjust the fee estimates — your lender's Loan Estimate lists the real ones.
- Tick any local options that apply.
- Check the seller side if you are selling, or to understand what the other party pays.
The formula
Buyer costs = lender fees (a % of the loan) + title and settlement (a % of price) + fixed fees + prepaid escrow + buyer-side government taxes. Seller costs = commission + other costs + seller-side government taxes. Government taxes come from the New York City rules in the site's tax engine.
Worked example for New York City
| Item | Amount |
|---|---|
| Lender fees and points (1% of loan) | $7,200 |
| Title insurance, settlement and escrow (0.6%) | $5,400 |
| Appraisal, inspection, recording and other fees | $1,800 |
| Prepaid property tax escrow (3 months) | $2,025 |
| NYC mansion tax (0.00%) | $0 |
| NYC/NYS mortgage recording tax | $13,860 |
| Buyer total | $30,285 |
| Agent commissions (5%) | $45,000 |
| Other seller costs | $1,500 |
| NYC real property transfer tax (1.425%) | $12,825 |
| NYS transfer tax (0.40%) | $3,600 |
| Seller total | $62,925 |
Estimated buyer closing costs: $30,285 (3.4% of the price · seller costs about $62,925).
What drives closing costs in New York City
In New York City, government transfer and recording taxes add $30,285 to this sale, $13,860 of it on the buyer's side. Lender and title charges scale with the loan and price, which is why they are the other big pieces. Prepaid escrow is not a fee — it is your own property tax money collected up front.
Title insurance pricing also varies: title premiums in New York are filed by insurers and can differ, so compare quotes.
Common mistakes and tips
- Confusing prepaid escrow with fees — escrow is your own tax and insurance money.
- Comparing lenders only by rate; compare the Loan Estimate's total costs.
- Forgetting that commissions are negotiable and, since 2024 industry changes, buyer-agent pay is often negotiated separately.
- Missing a local tax break available in New York City — see the special tools for New York City.
Frequently asked questions
How much are closing costs in New York City?
For the default price on this page, buyer costs come to about $30,285, or 3.4% of the price.
Who pays transfer tax in New York City?
Sellers usually pay the NYC Real Property Transfer Tax and the New York State transfer tax. Buyers pay the mansion tax on homes of $1 million or more, plus the mortgage recording tax when financing a condo or house. In new developments, the contract often shifts the seller's transfer taxes to the buyer.
What is on the Closing Disclosure?
The final list of loan terms and costs, delivered at least three business days before closing. Compare it with your Loan Estimate.
Can closing costs be rolled into the loan?
Some can be covered by seller credits or a higher rate with lender credits, but government taxes and prepaid items are usually paid in cash.
Sources
Disclaimer
This calculator provides estimates for educational purposes only and is not financial, tax, legal, real estate, or insurance advice. Consult a licensed professional before making decisions.