Jennifer is obtaining a $250,000 mortgage in New York City (Manhattan) for a cooperative apartment purchase. In addition to the New York State mortgage recording tax, what additional mortgage-related tax may apply?
Correct Answer
C) No additional tax applies because cooperatives are personal property, not real property
Cooperative apartments in New York are personal property (shares in a corporation plus proprietary lease), not real property. The mortgage recording tax applies only to mortgages on real property. Co-op financing typically involves personal loans secured by the shares, which are not subject to mortgage recording tax.
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