Selling a house in Queens, New York involves various costs that homeowners need to consider. Understanding these expenses is crucial for accurate financial planning and to ensure a smooth and successful property sale. Here’s a breakdown of the costs associated with selling a house in Queens.
NYC Transfer Tax
The New York City Transfer Tax for residential 1-3 family homes, individual condo units, and individual coop units is 1% if sale price is below $500K and 1.425% if the sale price is above $500K.
*In addition to those taxes previously imposed, beginning on July 1, 2019, certain conveyances of real property or interests therein, located in New York City, where the consideration for each conveyance is $2 million or more, are subject to new taxes under the New York State Tax Law. Additionally, another new tax is imposed on the conveyance of residential real property or interest therein where the consideration is $3 million or more. For information regarding these taxes, which are administered by the State, please refer to the New York State Department of Taxation and Finance’s website at https://tax.ny.gov/bus/transfer/rptidx.htm.
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NYS Transfer Tax
The New York State Transfer Tax for residential 1-3 family homes, individual condo units, and individual coop units is $2 for each $500 of the sale price. This is equivalent to a percentage rate of 0.4% of the sale price.
Attorney
Real Estate Attorney Fees in Queens typically range from $1,500 – $2,500. This is as of Jan 2023.
Listing Brokerage
Real estate agent commissions comprise of two separate fees, one is the listing brokerage (i.e. seller’s agent) and the other is the buyer brokerage (i.e. buyer’s agent). In Queens, the listing brokerage fee is typically 1.5% – 3%. Please note, this percentage may vary and it is negotiable.
Buyer Brokerage
In Queens, the buyer brokerage fee is typically 1% – 3%. Please note, this percentage may vary and it is negotiable.
Free Home Valuation
Request a free home valuation from one of our local Queens real estate experts.
Acris Filing Fee
The Real Property recording fee for real estate documents and loan satisfaction are typically around $75.
For example, the recording fee for real estate documents is $32.00 + $5.00 per page + $5.00 for Cover Page. Minimum for 2 pages = $42.00 ($32.00 + 1 Cover Page + 1 document page). And the recording fee for loan satisfactions is as follows, if the satisfaction involves a consolidated mortgage, the total recording charge minus the $5.00 per page must be multiplied by the number of mortgages in the consolidated mortgage; add the $5.00 per page to this total.
NYS Equalization Fee
The New York State Equalization fee is typically around $75.
UCC-3 Filing Fee
UCC-3 Filing fees in Queens can typically range from $100 – $200.
Title Closer Fee
A title closer is a professional who facilitates the closing process of a real estate transaction by ensuring that all the necessary documentation is properly prepared, reviewed, and executed. The title closer plays a crucial role in the closing process, which is the final step in a Queens real estate transaction. The title closer fee is typically around $300 – $500.
Free List of Comps
A free list of closed sales, near your property, and sold within the last 6 months.
Loan Satisfaction
If you have a mortgage on your property, and/or if you have other outstanding loans, liens, etc. you will have to deduct these expenses as well as they will need to be paid at closing.
Capital Gains Tax (if applicable)
For sellers in Queens, capital gains tax might apply if the profit from the sale exceeds certain thresholds. This tax is based on the difference between the selling price and the property’s original purchase price. However, there are exclusions and deductions available for primary residence sales, which sellers can investigate with a tax professional. If you have any questions about capital gains on your property sale, feel free to call us 718-968-5538.
Miscellaneous Costs
Additional costs might include HOA (Homeowners Association) fees, coop fees, prorated property taxes, etc. Sellers should also consider potential storage or moving costs if they need to vacate the property before the sale.
As you can see, selling a house or apartment in Queens involves various expenses that sellers should factor into their plans. Understanding and accounting for these costs is vital to avoid financial surprises and to maximize the profitability of the sale. If you’d like to use our Estimated Net Proceeds Worksheet or Estimated Capital Gains Tax Calculator for a full breakdown of your expenses, let us know and we can email it over to you.
While these costs might seem daunting, every transaction is unique. Consulting with a local Queens real estate agent and a financial advisor can provide more accurate estimations and strategies to minimize expenses, ensuring a smooth and financially optimized house selling process in Queens.
