The True Cost of Selling a Home in New York City (What Sellers Must Know)

Selling a home in New York City can be exciting, but it’s important to understand that there are costs involved beyond just finding a buyer. Many sellers are surprised by how much they need to budget for before closing day.

In this guide, we’ll break down the main costs associated with selling a home in NYC, so you can prepare properly and avoid surprises.

Understanding the Costs of Selling a Home in NYC

If you’re thinking about selling your home in New York City, here’s what you need to know. Some costs are mandatory, while others are optional but strategic, depending on how you want to position your property in the market.

Let’s break them down.

1. Transfer Taxes in New York City

One of the largest unavoidable costs when selling a home in NYC is the transfer tax.

NYC Transfer Tax

New York City charges a transfer tax based on the purchase price of the property, and this tax is paid by the seller.

• 1% of the sale price if the property sells for under $500,000

• 1.425% if the property sells for over $500,000

New York State Transfer Tax

In addition to the city tax, New York State also charges a transfer tax:

• 0.4% of the purchase price for properties under $3 million

Both the city and state transfer taxes are paid by the seller, and they are calculated based on the final sales price.

Feeling confused? Don’t worry this is very common. A more detailed breakdown of NYC transfer taxes is coming in a separate guide.

2. Attorney Fees (Required in NYC)

Unlike many other states, New York requires attorneys for most real estate transactions.

• Typical attorney fees range from $1,000 to $1,500

• A good real estate attorney helps review contracts, manage negotiations, and protect your interests through closing

This is another mandatory cost sellers must budget for

3. Home Staging Costs (Optional but Powerful)

While not required, staging can make a huge difference in how fast your home sells and for how much.

Basic Preparation

• Removing clutter

• Deep cleaning

• Improving overall presentation

Professional Home Staging

• Hiring a professional stager can make your home more visually appealing

• Helps buyers imagine themselves living in the space

• Often leads to higher offers and quicker sales

Staging is optional, but in competitive NYC markets, it can be a smart investment.

4. Repairs After Home Inspection

Once a buyer is found, they will usually order a home inspection.

Some buyers may request repairs based on the inspection report. However, with the right strategy:

• Your agent may recommend selling the home “as-is”

• Some repair requests can be negotiated or made non-negotiable

That said, major issues — such as:

• Boiler problems

• Roof leaks

• Structural concerns

are things lenders and banks often require to be fixed before closing.

5. Realtor Commission

A professional real estate agent is more than just someone who lists your home.

What You’re Paying For

• Strategic pricing

• Aggressive marketing

• Skilled negotiation

• Access to professional networks

• Managing the transaction from listing to closing

A strong agent works to:

• Sell your home for the highest possible price

• In the shortest amount of time

• With clear communication and realistic expectations

While commissions vary, the value lies in expertise, exposure, and results.

Final Thoughts: Is Selling in NYC Worth It?

Selling a home in New York City comes with costs, but with the right preparation and guidance, it can be a smooth and profitable process.

Mandatory Costs:

• Transfer taxes

• Attorney fees

Optional but Strategic Costs:

• Staging

• Repairs

• Professional marketing and representation

Understanding these expenses upfront helps you:

• Price your home correctly

• Avoid surprises

• Maximize your net proceeds at closing

Ready to Sell or Have Questions?

If you’re thinking about selling your home in NYC or want a private consultation, feel free to reach out.

I’m here to help guide you through every step of the process.

Have questions? Leave a comment below or reach out directly for personalized advice.