How Much Can You Expect to Pay for Closing Costs in New York?

Buying a home? Click here to perform a full home search
Selling a home? Click here for a FREE Home Price Evaluation 
Call me at (518) 861-7016 for a FREE home buying or selling consultation

What are closing costs in New York state? This is a question I've received A LOT recently, so I thought I would take the time to answer it today. Unfortunately, in the state of New York, closing costs are more expensive than anywhere in the country. 

As a buyer, costs will fluctuate substantially depending on the lender. Lender fees, bank fees, and attorney fees, among others, will be included when you close. The mortgage recorded tax will cost you 1-1.25%; if you take out a mortgage for $300,000, for example, you will have to pay the state at least $3,000 just for the right to take that mortgage out. 

You also have to pay title insurance, which is based on the price of the home and can run several thousand dollars. Additionally, the lender may ask you to put up a year's worth of taxes in escrow - that's cash you need to come up with on the spot! When you add all these factors together when buying a home, the closing costs can run you up to 5% when buying in our state.

Fortunately, it's a whole lot cheaper on the selling end. The attorney fee is generally between $500-700, and you'll typically owe a couple hundred dollars for a transfer tax. Unfortunately, there is an additional closing cost where you will pay for an abstract or title search for the buyer in Schenectady County. Other than these fees, there really isn't much else!

If you have any questions about the buying or selling process, or if you need real estate assistance of any kind, give us a call or shoot us a quick email. We would love to hear from you!