New York, NY - Natalia A. Sishodia, a New York City real estate lawyer at Sishodia PLLC (https://sishodia.com/who-pays-real-estate-closing-costs-in-new-york/), is providing clear guidance on who pays real estate closing costs in New York City and how a well-structured closing process protects transactions from delays and unexpected expenses. Drawing on extensive experience with high-end purchases, cross-border deals, and cooperative and condominium transfers, Ms. Sishodia outlines what parties should anticipate on closing day, how a closing statement functions, and which taxes and fees commonly apply in NYC.
In New York City, closing costs vary by property type, transaction structure, and market conditions. A New York City real estate lawyer can explain common seller obligations, including brokerage commissions that typically range from 5 to 6 percent of the sale price, the NYC Real Property Transfer Tax of 1 percent for properties at or below 500,000 dollars or 1.425 percent for properties above that threshold, and the New York State transfer tax of 0.4 percent or 0.65 percent when the sale exceeds 3 million dollars. Additional seller considerations can include FIRPTA withholding at 15 percent for foreign sellers, a 10.9 percent estimated income tax payment on gain for nonresidents, prorated real estate taxes, and attorney’s fees. Buyers generally incur 2 to 5 percent of the purchase price in closing costs, which may include lender fees, appraisal and survey charges, mortgage recording tax, title insurance, building application fees for condos or co-ops, and the mansion tax on purchases of 1 million dollars or more. In new development purchases, buyers may also pay transfer taxes. A New York City real estate lawyer can assess whether any of these items are negotiable within the constraints of the market.
The closing process in NYC typically takes about 60 to 90 days from contract execution. During this period, the buyer’s attorney orders title, addresses liens, coordinates lender documentation, and calculates all payoffs and adjustments with the title company and any third-party stakeholders, including cooperative boards. The closing statement, prepared in spreadsheet form by the real estate attorney, itemizes every debit and credit for both sides and provides the exact final figure due at closing. It captures essential details such as the parties’ names, property address, scheduled closing date, and location. Because closings can shift by a day or two, the statement must reflect an explicit date. On closing day, the attorney reviews deed and transfer documents, tax filings, and mortgage paperwork, then oversees the release of funds. Throughout, a New York City real estate lawyer helps parties anticipate pitfalls such as appraisal-related pricing adjustments, documentation burdens when sellers pay buyer costs, and the tradeoffs that may limit upgrades or repairs if credits are granted elsewhere.
About Sishodia PLLC:
Sishodia PLLC is a New York City law firm led by attorney Natalia A. Sishodia, serving domestic and international clients in sophisticated real estate transactions. The firm handles condominium and cooperative purchases and sales, single and multi-family acquisitions, new developments, deed transfers, lending, and 1031 exchanges. The practice also provides counsel on estate planning and wealth preservation strategies. For consultations or more information, contact Sishodia PLLC or call (833) 616-4646 to discuss upcoming transactions and closing requirements.
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Email: natalia@sishodialaw.com
Website: https://sishodia.com/
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Company Name: Sishodia PLLC
Contact Person: Natalia A. Sishodia
Email: Send Email
Phone: (833) 616-4646
Address:600 3rd Ave 2nd floor
City: New York
State: New York 10016
Country: United States
Website: https://sishodia.com/