NYC Transfer Taxes: What Staten Island Home Sellers Need to Know

Transfer taxes are one of the largest closing costs a home seller faces in New York City — and Staten Island is no exception. Many sellers don't realize how significant these taxes are until they see their closing statement. This post breaks down the two transfer taxes that sellers in Staten Island are responsible for, how they're calculated, and where they can catch you off guard.

Two Transfer Taxes Hit Sellers in New York

When you sell a home in Staten Island, you are responsible for paying two separate transfer taxes:

• The NYC Real Property Transfer Tax (RPTT) — a city-level tax
• The New York State Real Estate Transfer Tax — a state-level tax

Both are calculated based on the sale price and are paid by the seller at closing.

NYC Real Property Transfer Tax (RPTT)

The RPTT is administered by New York City and applies to all property transfers in all five boroughs, including Staten Island.

The rate for residential property (1–3 family homes, co-ops, and condominiums) is:

• 1.0% of the sale price for properties selling for under $500,000
• 1.425% of the sale price for properties selling for $500,000 or more

Notice that crossing the $500,000 threshold changes the entire tax rate — not just the portion above $500,000. A property that sells for $499,999 owes $4,999.99 in RPTT, while one that sells for $500,000 owes $7,125. That's a jump of over $2,000 triggered by a single dollar in sale price. Sellers pricing a home near this threshold should be aware of this dynamic.

New York State Real Estate Transfer Tax

In addition to the NYC RPTT, sellers owe a New York State transfer tax equal to $4 per $1,000 of the sale price — or 0.4% — on all transactions. For a $700,000 sale, the state transfer tax would be $2,800. For a $1,000,000 sale, it would be $4,000.

This rate applies to all residential sales regardless of price. There is no seller-side "mansion tax" — the mansion tax is a buyer's obligation, as described below.

What Is the Tax Calculated On?

Transfer taxes are calculated on the total consideration received by the seller. In a straightforward transaction, that's the sale price. But in transactions that involve seller concessions — where the buyer asks the seller to credit back a portion of the purchase price to cover closing costs — the transfer tax is calculated on the full elevated purchase price, not the net amount the seller actually receives.

This is a subtle but important point if you are negotiating a seller concession. The transfer taxes apply to the gross sale price as written in the contract, not the net proceeds after any concessions are factored in.

Who Pays These Taxes?

In New York, it is standard for the seller to pay both the NYC RPTT and the NYS transfer tax. In residential sales, it is virtually always the seller who pays.

Transfer Taxes vs. the NYC Mansion Tax (Buyer's Tax)

The NYC mansion tax — which applies to purchases of $1,000,000 or more at a rate of 1% to 3.9% — is paid by the buyer, not the seller. As a seller, you do not owe the NYC mansion tax. What sellers owe is the RPTT and the NYS transfer tax (0.4% on all sales).

A Sample Closing Cost Calculation

Budgeting for Transfer Taxes

Before you list your home, it is worth running through the math. Your real estate attorney can prepare a seller's net sheet that shows you exactly what your transfer taxes will be — so you go into negotiations with a clear picture of your true net proceeds.

For a complete breakdown of all seller closing costs, see Closing Costs for Home Sellers in Staten Island.

Questions About Your Sale?

At Weinman Law Offices, Pete Weinman helps sellers throughout Staten Island understand their projected transfer tax obligations and ensures closing statements are accurate.

For a complete overview of the entire selling process, see The Staten Island Home Selling Process: A Step-by-Step Guide.

Contact Pete today: Call (718) 442-2010 | Text (718) 957-8121 | Weinman@StatenIslandLaw.com