Closing Costs for the Buyer  |  Manhattan Condo/Townhome

Important note: Many developers of new condos in the Manhattan area are now offering to pay some closing costs in the wake of the market collapse. Check with your agent and the sales manager of your development. It never hurts to ask. 

When buying in new developments the purchaser pays both the developer's closing costs as well as their own. These costs usually include the following charges:

ItemExpense
Buyer's AttorneyVaries - Starts at $1,600
Bank Fees$750
Application Fee$500
Appraisal Fee$400 - $2000 (depending on sales price)
Credit Report Fee$30 single/$60 joint
Bank Attorney$750 - $1000
Tax Escrow2 to 6 months
Recording Fees$250 - $750
Mortgage Tax1.8% of mortgage on loans under $500K; or 1.925% on amounts over $500K
Fee Title InsuranceApprox. $450 per $100K of sales price under $1M + 15% on $1M or more
Mortgage Title InsuranceApprox. $130 per $100K of mortgage amount
Municipal Search$350 - $500
Mansion Tax1% of entire purchase where price is $1,000,000 or more.
Note: these are estimates used to give you a rough idea of what to be prepared for on closing costs. Consult your attorney for up to date information on current rates and fees, which may differ. Charges on co-ops are slightly different from those on condominiums because they involve stock transfer rather than real property. Again, consult your attorney. 

Revised: 12/09
Lee Presser
Lee Presser
Licensed Associate Real Estate Broker
575 Fifth Ave, Floor 14 New York NY 10017