NYC Home Seller Closing Cost & Transfer Tax Guide (2026): RPTT (1.0%–1.425%), NYS Transfer Tax (0.40%–0.65%) & Co-op Flip Taxes
Complete 2026 breakdown of NYC seller closing costs: NYC Real Property Transfer Tax (1.0%–1.425%), NYS Transfer Tax (0.40%–0.65%), Co-op Flip Taxes, and broker commissions.
By Pablo Cirre Gómez and East Corp Capital Quantitative Desk
When selling a condo, co-op apartment, or townhouse in Manhattan, Brooklyn, Queens, the Bronx, or Staten Island, sellers face the highest municipal transfer tax stack in the United States. Before a single dollar of broker commission is paid, a residential sale above $500,000 owes 1.425% in New York City Real Property Transfer Tax (RPTT) plus 0.40% to 0.65% in New York State Transfer Tax—and if you are selling a pre-war co-op on the Upper East Side, Upper West Side, or Brooklyn Heights, an additional 1.0% to 3.0% Co-op Flip Tax goes directly into the building’s reserve fund.
NYC, NY State & Florida Home Seller Closing Cost & Transfer Tax Calculator (2026)
Calculates net cash proceeds after NYC Real Property Transfer Tax (1.0%–1.425%), NYS Transfer Tax (0.40%–0.65%), Co-op Flip Tax, Florida Documentary Stamp Tax ($0.60/$0.70 per $100), and broker commissions.
How NYC’s 1.00% vs. 1.425% Real Property Transfer Tax (RPTT) Works—And the Adjacent Apartment Trap
Under NYC Administrative Code § 11-2102, individual residential units (1-to-3 family houses, individual residential condominium units, and individual co-op apartments) pay 1.00% if the gross consideration is $500,000 or less, and 1.425% on the entire sale price if the consideration exceeds $500,000.
Critical Trap for Combined Co-ops & Condos: If you previously bought two adjacent apartments and never physically combined the kitchen/plumbing or merged the tax lots/proprietary leases into a single dwelling unit, the NYC Department of Finance frequently audits the sale as a “bulk transfer of two or more units”—reclassifying your sale from the 1.425% residential rate to the 2.625% commercial RPTT rate (+1.20% extra tax, or +$36,000 on a $3M sale)!
2026 Statutory Schedule & Jurisdiction Benchmark Table
| Scenario / Statutory Rule | 2026 Rate / Metric | Dollar Impact / Threshold | Legal Citation & Note |
|---|---|---|---|
| NYC RPTT (1–3 Fam, Condo, Co-op ≤ $500,000) | 1.000% Seller Tax | $5,000 on $500,000 sale | Filed via ACRIS Form NYC-RPT |
| NYC RPTT (1–3 Fam, Condo, Co-op > $500,000) | 1.425% Seller Tax | $24,937.50 on $1,750,000 sale | Cliff rate applies to dollar one once > $500,000 |
| NYS Real Estate Transfer Tax (< $3M Res) | 0.400% ($2 / $500) | $7,000 on $1,750,000 sale | Filed via NYS Form TP-584 |
| NYS Luxury Transfer Tax (≥ $3M Res in NYC) | 0.650% ($3.25 / $500) | $22,750 on $3,500,000 sale | Includes 0.25% supplemental MCTD seller tax |
| NYC Co-op Flip Tax (Building Transfer Fee) | 1.0% – 3.0% of Price | $17,500 – $52,500 on $1.75M | Governed by proprietary lease (some charge % of profit or $/share) |
How the Continuing Lien Deduction Saves Co-op and Townhouse Sellers Thousands
Most NYC co-op sellers overpay their transfer taxes unless their real estate attorney applies the Continuing Lien Deduction on Form NYC-RPT and Form TP-584. Under New York law, when you sell shares in a co-op corporation that carries an underlying building mortgage, your apartment’s pro-rata share of that underlying building mortgage is deducted from the gross sale price before computing the 1.425% NYC RPTT and 0.40% NYS Transfer Tax—routinely saving $1,800 to $5,500 at the closing table.
Frequently Asked Questions & Statutory Rules (2026)
What happens if the buyer agrees to pay the seller’s NYC and NYS transfer taxes (as in a Sponsor New Development)?
When a buyer contractually pays the seller’s 1.825%–2.075% transfer taxes, NYC and NYS treat the transfer tax paid by the buyer as additional taxable consideration ("gross-up"), increasing both the transfer tax base and the buyer’s Mansion Tax base!
Is a NYC Co-op Flip Tax tax-deductible?
While a co-op flip tax is not deductible against ordinary W-2 income, it is a direct selling expense that reduces your "Amount Realized" on IRS Form 8949 / Schedule D—reducing your taxable capital gain dollar-for-dollar above your IRC § 121 exclusion.
What is NYS Form IT-2663 for non-resident sellers selling a NYC apartment?
If you no longer live in New York State (for example, you moved to Florida, Connecticut, or New Jersey) and sell real property or co-op shares in NYC at a taxable gain, NY Tax Law § 663 requires you to file Form IT-2663 (real property) or IT-2664 (co-op shares) and prepay estimated NYS capital gains tax at closing at the top 10.90% rate.
How much are total NYC seller closing costs as a percentage of the sale price in 2026?
For a Manhattan or Brooklyn condo seller paying a 5% total broker commission, total closing costs average 6.95% to 7.20% of the sale price. For a co-op seller in a building with a 2% flip tax, total closing costs average 8.95% to 9.25% of the sale price.