A buyer asks her agent how New York State calculates the real estate transfer tax on a $300,000 purchase. Which of the following correctly describes the New York State transfer tax rate?
Correct Answer
A) $2 for every $500 of consideration (or fraction thereof)
Under New York Tax Law §1402, the state transfer tax is imposed at a rate of $2 for every $500 of consideration, which is equivalent to 0.4% of the purchase price. On a $300,000 sale, this results in a $1,200 transfer tax. Knowing this rate is standard factual knowledge expected of licensed agents.
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Previous Question
During a final walkthrough before closing, a New York buyer's agent notices that light fixtures present during all prior showings have been removed by the seller. The purchase contract is silent on the fixtures. Under New York law, what is the most appropriate course of action for the buyer's agent?
Next Question
Angela is representing buyer Robert in New York. Robert is pre-approved for a mortgage but mentions he recently lost his job. He asks Angela not to tell anyone about his job loss until after closing. Under New York agency law, what should Angela do?