Are you buying or selling in Elmwood-Bidwell and wondering how Buffalo transfer taxes will affect your closing? You are not alone. These charges are predictable once you know which taxes apply, who typically pays them, and what to verify locally. In this guide, you will learn the key New York State taxes, common local fees in Erie County, who usually pays, and how to budget with confidence. Let’s dive in.
Transfer tax basics in Buffalo
Real estate transfer taxes are charges tied to the conveyance of a deed. They are separate from title premiums, lender fees, and property taxes. In Buffalo, you will see New York State transfer taxes, and you may see mortgage-related taxes and local recording fees at the county level.
Keep these buckets in mind:
- State real estate transfer tax on the sale price.
- State “mansion tax” on high-value residential sales.
- Mortgage recording tax if the buyer takes a loan.
- County clerk recording fees for deeds and mortgages.
Who pays what at closing
Legal liability and local custom can differ, and your contract controls the final allocation. In much of New York, sellers commonly cover the state transfer tax. Buyers typically pay the mortgage recording tax and their lender-related charges.
By statute, the New York State mansion tax on residential sales of 1,000,000 dollars or more is imposed on the purchaser. Your closing statement will show the agreed allocations line by line.
NYS taxes you will see
State transfer tax at 0.4 percent
New York State imposes a real estate transfer tax of 2 dollars per 500 dollars of consideration, which equals 0.4 percent of the purchase price. The tax is reported and paid when the deed is recorded, using Form TP-584.
Mansion tax at 1 percent
For residential sales at 1,000,000 dollars or more, New York State imposes a one-time 1 percent mansion tax. This tax is collected at closing and is treated as payable by the purchaser under state law.
Mortgage recording tax and fees
If you finance your purchase, mortgage recording tax is due when the mortgage is recorded. Buyers commonly pay this tax at closing. Rates and any exemptions vary by property type and locality, so verify the exact amounts for Erie County with your title company, attorney, and the Erie County Clerk.
Clerk recording fees also apply to deeds and mortgages. These are administrative charges that are separate from taxes and will appear on your closing statement.
Erie County and Buffalo charges to check
Local fee schedules can change. Before you finalize numbers, ask your team to verify:
- Erie County Clerk deed and mortgage recording fees.
- Any county-level realty transfer surcharge.
- City of Buffalo requirements related to transfer filings or special assessments.
- Process for filing TP-584 at recording, and costs for certified copies.
A local title company or attorney will provide a line-item estimate for these fees as part of your title quote.
Exemptions that may apply
Some transfers qualify for exemptions from the state transfer tax. Common examples include:
- Transfers between spouses incident to divorce or separation.
- Transfers by gift or due to death.
- Transfers to or from certain government entities or qualified nonprofits.
- Transfers to a revocable trust where the grantor remains the owner for tax purposes.
- Certain foreclosures, tax deeds, or court-ordered transfers.
Exemptions must be certified on Form TP-584 and supported by documentation. Your attorney or title company will advise on what to provide.
Quick cost examples
These illustrations use only state-level taxes. Add local recording fees, mortgage recording tax, title charges, and lender costs for a complete estimate.
Example A, 300,000 dollar sale:
- NYS transfer tax at 0.4 percent: 1,200 dollars.
- No mansion tax.
- Buyer may owe mortgage recording tax if financing, plus recording fees.
Example B, 1,250,000 dollar residential sale:
- NYS transfer tax at 0.4 percent: 5,000 dollars.
- NYS mansion tax at 1 percent: 12,500 dollars, imposed on the purchaser.
- Total state-level taxes: 17,500 dollars, before adding local fees and mortgage recording tax.
Elmwood-Bidwell closing checklist
Use this to keep your Forest neighborhood transaction on track:
- Decide allocation in the contract:
- Who pays NYS transfer tax.
- Who covers the mansion tax if applicable.
- Who covers mortgage recording tax and recording fees.
- Request a title quote with itemized taxes and fees.
- Confirm with Erie County Clerk:
- Current deed and mortgage recording fee schedule.
- Any county transfer surcharge.
- Filing procedure for TP-584 and required copies.
- Prepare and sign Form TP-584 at closing.
- Gather documents for any claimed exemption.
- If financing, confirm mortgage recording tax with your lender and title company.
- Coordinate post-closing address and assessment updates with the City of Buffalo offices.
How to get precise numbers
The most accurate totals come from live, local sources. Ask your title company for a closing cost worksheet that includes state taxes, mortgage recording tax based on your loan, and Erie County recording fees. Your attorney can confirm exemptions and the correct completion of TP-584. You can also contact the Erie County Clerk and City of Buffalo for current fee schedules and procedures.
Ready for next steps?
If you are planning a move in Elmwood-Bidwell or nearby Forest, we can help you model costs, structure your contract, and navigate a smooth closing. Connect with Unknown Company to get a free home valuation and neighborhood strategy that includes a clear, local closing cost plan.
FAQs
What is the NYS transfer tax rate for Buffalo homes?
- New York State charges 2 dollars per 500 dollars of consideration, which equals 0.4 percent of the purchase price, collected when the deed is recorded.
In Buffalo who usually pays the state transfer tax?
- Local custom often has the seller cover the state transfer tax, but the contract controls the final allocation between buyer and seller.
When does the New York mansion tax apply and who pays it?
- The 1 percent mansion tax applies to residential sales at 1,000,000 dollars or more and is imposed on the purchaser by statute.
What local Erie County or Buffalo fees should I expect at recording?
- Expect county clerk recording fees for deeds and mortgages and possible local surcharges; verify current amounts with the Erie County Clerk and your title company.
How do transfer taxes show on my closing statement in Elmwood-Bidwell?
- Transfer taxes, mortgage recording tax, and recording fees appear as itemized lines on the ALTA or HUD-1, with payor allocations matching your contract.
How can I estimate total closing costs for a Forest-area purchase or sale?
- Request an itemized title quote, confirm mortgage recording tax with your lender, and have your attorney verify Erie County fees and any exemptions on TP-584.
