A real estate broker is preparing a net sheet for a seller of a $450,000 condominium in Queens, NYC. The broker needs to calculate the total transfer taxes that will be deducted from the seller's proceeds. What is the combined New York State and NYC transfer tax amount?
Correct Answer
D) $1,800 state tax + $4,500 NYC tax = $6,300 total
The NY State transfer tax is $450,000 ÷ $100 × $0.40 = $1,800. The NYC transfer tax for properties $500,000 and under is 1%, so $450,000 × 1% = $4,500. The total is $1,800 + $4,500 = $6,300.
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