In New York, sellers can expect to pay about 3.25% of their home's sale price in closing costs. For a $411,861 home — the median home value in New York — you'd pay about $13,389.
Closing costs are usually taken out of your total profits once the transaction is finalized. You'd only have to pay out of pocket if your closing costs exceed the amount you earn from the sale — which rarely happens.
Since realtor commission fees tend to be the biggest expense for sellers in New York, finding a low commission agent is one of the best ways to save when selling your home. Fortunately, agent-matching services like Clever Real Estate make finding a top local agent a breeze!
Clever pre-negotiates low listing fees with highly experienced agents all over New York to help you keep more money in your pocket after selling your home.
Keep reading to find out which closing costs sellers are responsible for in New York and how much you can expect to pay for each of them. Need estimates for your sale? You'll also find our New York seller closing costs calculator!
How much are seller closing costs in New York?
Seller closing costs include all the fees due when you finalize your New York home sale. Most of these fees are required in order to transfer full ownership of the property to your buyer.
New York seller closing costs
*Based on a sale price of $411,861, the typical home value in New York (Zillow August 31, 2022)
In New York, you'll pay about 3.25% of your home's final sale price in closing costs, not including realtor fees.
Remember that this figure is just an estimate and that your exact expenses will likely differ based on your location, selling timeline, and other factors. Additionally, keep in mind that you can always negotiate which expenses will be covered by you or your buyer.
To score the best deal, you'll need a realtor with plenty of experience negotiating with buyers. Clever can connect you with a top local agent who will expertly market your home and negotiate with your best interests in mind.
» MORE: See how Clever can match you with a local expert
Both parties have to pay unique closing costs to finalize a real estate transaction. It's common for sellers in New York to pay title and closing service fees, owner's title insurance policy, transfer taxes, attorney fees, and recording fees.
Title fees: 0.26%
Title fees cover the costs of your title search and title transfer.
Before you can close on your home sale, you'll need to transfer legal ownership of the property to your buyer. To make sure there aren't any claims or liens against your property, your settlement agent will perform a title search.
Buyers and sellers in New York usually pay for their own title company or closing agent, but this isn't always the case. Ask your realtor if you're not sure which expenses you're responsible for.
Owner's title insurance: 0.14%
Owner's title insurance will protect your buyer if any problems with the property title arise. Issues can range from simple clerical errors to full ownership disputes over the home. A title insurance policy will pay for any of the buyer's required legal fees or potentially reimburse them for the value of the home if any mistakes are made.
In New York, title insurance usually costs around 0.14% of your home's final sale price — or $591 for a $411,861 home. Most title companies in New York use a tiered pricing system to determine the cost of a policy based on the value of your property.
Although it's common for the buyer to pay for their own title insurance policy in New York, some sellers may agree to cover this closing cost.
» MORE: What is title insurance, and why do you need it?
New York transfer tax: 0.40%
New York will charge you about 0.40% of your property's final sale price to transfer the title to the new owner. For a $411,861 house — the median home value in New York — you'd pay about $1,647.
However, note that individual cities or counties may charge additional transfer fees. New York City, for example, charges an additional transfer tax of 1% on homes that sell for less than $500,000. This rate jumps to 1.425% for homes that sell for over $500,000.
If you're unfamiliar with your area's transfer tax rates, check with your agent to find out what you'll owe on your home sale — or if you're exempt from paying transfer taxes altogether!
» FIND: Learn more about transfer taxes in New York
New York recording fees: $52
Your county or city will charge a fee to legally record your property's mortgage and deed information. This cost can vary slightly based on your location, but you can expect to pay around $52 in New York. This is another fee you might be able to convince your buyer to cover.
You should be able to find recording fee information on your county's website. For example, Richmond County has a base recording fee of $30 and requires an additional $2 for each page included in your deed. Nassau County is slightly pricier, starting at a $40 recording fee and a $5 additional for every page.
Check out your county's website to see exactly how much you'll pay in recording fees.
Buyer incentives: 2%
Buyer incentives encourage more potential buyers to submit an offer on your home. Common incentives include paying for some of the buyer's closing costs, providing repair credits, or including valuable items — like appliances or new furniture — in the sale of your property.
Sellers spend an average of $8,237 on buyer incentives in New York.
Don't forget about property taxes!
When you sell a home in New York, you'll still have to pay property taxes for the months you owned the property. Using this prorated system, you won't be on the hook for the full 12 months of taxes. However, this does make it more difficult to estimate how much you'll owe at closing.
The average property tax rate in New York is #N/A, but this can vary quite a bit depending on your county.
For instance, Orleans has the highest property tax rate in the state at 3.49%. Meanwhile, Kings residents have the lowest property tax rate at just 0.66%.
Be sure to check with your real estate agent so you can find out exactly you'll need to pay in property taxes
Other New York closing costs for sellers
Every real estate sale is unique, so even the most prepared sellers in New York may be surprised with a few extra fees. For example, you may want to hire a real estate attorney to navigate the sale of your Manhattan penthouse, or you might have to pay condo fees when you move out of your Albany townhouse.
» LEARN: The total cost of selling a house
Regardless of your circumstances, you should prepare for a couple unforeseen expenses. Here are a few common miscellaneous closing costs:
- Homeowners Association (HOA) fees
- Mortgage payoff and/or prepayment penalties
- Property appraisal fees
- Settlement or attorney fees
Finding a local expert with plenty of experience in your neighborhood is a great way to save. Knowledgeable realtors in your area will be able to explain which fees can come up or change based on the unique factors of your New York neighborhood.
An experienced agent will also be tuned in to local trends and understand which features buyers will want the most in their new home. When you use Clever, you'll be paired with a top local realtor with the insights you need to maximize your profits.
New York closing costs calculator
Your closing costs will ultimately vary based on your home's value, local fees, and negotiations with your buyer.
You can use this New York closing costs calculator to better understand how much money you'll actually take home after closing.
How to save on New York closing costs
Although closing costs aren't usually the biggest expense for sellers in New York, there are a few things you can do to reduce these fees.
Shop around for better prices
It's possible to save by shopping for cheaper rates on necessary services, such as title insurance policies.
However, these costs are already pretty low and tend to be consistent between companies. When you're already managing inspections, repairs, and appraisals, checking out several companies for a $50 discount probably isn't worth the time or effort.
Negotiate for the buyer to pay
If there are lots of interested buyers and little inventory, sellers can use this market trend to their advantage. In a hot seller's market, buyers may be more willing to cover your closing costs to increase the likelihood that you'll select their offer.
On the other hand, if it's a buyer's market, sellers should be prepared to negotiate their asking price or offer incentives.
» MORE: How to negotiate with buyers before accepting an offer
Save on realtor fees
The best way to reduce your selling costs is to find a realtor who charges lower listing fees. In New York, real estate commission costs an average of $20,469 — that's usually more expensive than the rest of your closing costs combined!
Luckily, you can save big by selling with a Clever agent. With listing fees of just $3,000 or 1%, you'll save an average of $6,631 on a median-priced home in New York.
Frequently asked questions
In New York, expect to pay about 3.25% of your home’s sale price in closing costs — not including realtor fees. At the median home value of $411,861, this equates to around $13,389 at closing. Learn more about what makes up seller closing costs in New York.
Buyers and sellers each pay for different closing costs to finalize a sale. In New York, sellers typically pay for title fees, transfer taxes, owner's title insurance expenses, and recording fees at closing. Learn more about who pays closing costs in New York.