A cooperative apartment in Manhattan is being transferred for $800,000. The buyer's attorney questions whether New York State transfer tax applies to this transaction. What is the correct analysis?
Correct Answer
A) No transfer tax applies because cooperative apartments are personal property, not real property subject to transfer tax
In New York, cooperative apartments involve the transfer of personal property (shares of stock in the cooperative corporation) rather than real property. Since New York State transfer tax applies only to conveyances of real property, co-op transfers are not subject to this tax.
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Previous Question
A real estate agent in Syracuse is preparing a closing statement for a property sale. The property is located in Onondaga County (outside New York City) and is selling for $425,000. Which statement about the transfer tax obligations is correct?
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Sarah is purchasing a luxury condominium in Manhattan for $1,200,000. How much mansion tax will she pay under New York law?