Tax Rates
TRANSFER TAX
NEW YORK STATE REAL ESTATE TRANSFER TAX
RESIDENTIAL
COMMERCIAL
(1,2,3 Family Residential Dwelling, Condominium Unit, and Cooperative Unit)
$2.00 per $500 of consideration
Same as Residential
LOCAL REAL PROPERTY TRANSFER TAXES
RESIDENTIAL
COMMERCIAL
A) Mount Vernon
1%
1% of purchase price with a $100,000 exemption
Same as Residential
B) New York City
2%
$500,000 and less 1% $500,000.01 and more 1.425%
$500,000 and less 1.425%
$500,000.01 and more 2.625%
C) Peconic Bay
(Suffolk County)
2% (Paid by the Purchaser)
Same as Residential
For property in Shelter Island, South Hampton and East Hampton there is an exemption of $250,000 for improved property and $100,000 for unimproved property. For property in Southold and Riverhead there is an exemption of $150,000 for improved property and $75,000 for unimproved property.
D) Yonkers
More than $25,000 1.5%
Same as Residential
MANSION TAX
Consideration is $1,000,000 or more and the property is or may be used in whole or in part as a personal residence, which includes a 1-3 family house, an individual condominium unit or a cooperative apartment.
RESIDENTIAL
COMMERCIAL
1% Paid by the Purchaser
N/A
What properties are affected by the change?
The changes apply only to real property located in any city in New York having a population of one million or more. Currently, these changes would only apply to the five boroughs of New York City.
Transfer Tax Increase:
Residential Properties of $3 Million or More
Other Properties of $2 Million or More
Residential Properties of $3 Million or More
Other Properties of $2 Million or More
The first change is to the New York State transfer tax provided for in Section 1402 of the Tax Law. This is a change to the basic transfer tax of two dollars per five hundred dollars of consideration.
As of July 1, 2019, an additional transfer tax of one dollar and twenty-five cents for each five hundred dollars of consideration will be added to the conveyance of residential property where the consideration is three million dollars or more and to any other property where the consideration is two million dollars or more.
For purposes of this section residential real property is “any premises that is or may be used in whole or in part as a personal residence, and shall include a one, two, or three-family house, an individual condominium unit, or a cooperative apartment unit.”
Mansion Tax- New Supplement- Read and Weep!
The second change adds a new Section 1402-B to the Tax Law. This provides for a new tax that is supplemental to the existing “Mansion Tax” on residential real property (Tax Law 1402-A). Please Note that the existing statewide Mansion Tax on residential properties of $1 million or more remains in effect. The 1402-B tax, as set forth below, is on top of the existing Mansion Tax. The new supplemental tax applies only to residential property in a city with a population of one million or more when the consideration is two million dollars or more (currently New York City only). Residential property is again defined as “any premises that is or may be used in whole or in part as a personal residence, and shall include a one, two, or three-family house, an individual condominium unit, or a cooperative apartment unit.”
Tax Rate on the new supplemental tax is charged on a graduated scale based on consideration as follows:
$2 million but less than $3 million
$3 million but less than $5 million
$5 million but less than $10 million
$10 million but less than $15 million
$15 million but less than $20 million
$20 million but less than $25 million
$25 million and up
charge ¼ of 1%
charge ½ of 1%
charge 1 ¼%
charge 2 ¼%
charge 2 ½%
charge 2 ¾%
charge 2.9%
MORTGAGE RECORDING TAX
(Rate is per each $100 of principal indebtedness or obligation and each remaining major fraction thereof secured) *
NEW YORK CITY
RESIDENTIAL
COMMERCIAL
Less than $500,000 2.05%
$500,000 and more 2.175%
$500,000 and more 2.175%
Less than $500,000 2.05%
$500,000 and more 2.80%
$500,000 and more 2.80%
DUTCHESS, ORANGE, PUTNAM, NASSAU AND SUFFOLK COUNTIES
RESIDENTIAL
COMMERCIAL
1.05%
1.05%
ROCKLAND AND WESTCHESTER (except the CITY of YONKERS) COUNTIES
RESIDENTIAL
COMMERCIAL
1.30%
1.30%
CITY OF YONKERS
RESIDENTIAL
COMMERCIAL
1.80%
1.80%
1: *The lender may be required to pay .25% (1/4 of 1%) of the mortgage tax when the property is improved by a structure containing six residential dwelling units or less with separate cooking facilities or the mortgager is a not-for-profit organization.
2: There is an exemption for .25% of the mortgage tax (1/4 of 1%) when the mortgagee is a natural person and the premises is improved by a structure containing six residential dwelling units or less, each with separate cooking facilities. This exemption does not apply to vacant land.
3: When the mortgage recites that the real property is or will be improved by a one-to-two family residence or dwelling there is an exemption of $25 or $30, depending on the County.
2: There is an exemption for .25% of the mortgage tax (1/4 of 1%) when the mortgagee is a natural person and the premises is improved by a structure containing six residential dwelling units or less, each with separate cooking facilities. This exemption does not apply to vacant land.
3: When the mortgage recites that the real property is or will be improved by a one-to-two family residence or dwelling there is an exemption of $25 or $30, depending on the County.
