Aksel Law is a breath of fresh air.
Gregory Akselband
Real Estate Law
Cutting Edge and Specialized Representation of
Buyers and Sellers of Condos, Coops, Townhouses, Single and Multi-Family Homes in New York
Gregory Akselband
Real Estate Law
Cutting Edge and Specialized Representation of
Buyers and Sellers of Condos, Coops, Townhouses, Single and Multi-Family Homes in New York
My practice is built upon these four pillars:
Transparency
My cards are out for all to see. As a partner in the transaction process, you are privy to all communication, progress, and fees. No surprises.
Personalized Representation
I am personally involved in every transaction, conduct all due diligence, answer every client call and inquiry, and appear at every closing (after all, no one likes paying lawyer money to deal with a paralegal).
Access
I am accessible to clients and realtors via email, telephone (direct cell number provided), text, Skype, and legal eagle signal.
Reasonable Legal Fees
There is never a reason to hire a large law firm or pay by the hour for a standard transaction (flat fees are the way to go). The firm’s legal fees are extremely competitive and are collected at closing.
Your transaction should not make you feel like you are lost in space.
Let’s discuss closing costs
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One of the most common issues that I encounter from the real estate community is the confusion associated with closing costs. Although the internet is host to several resources, most are difficult to navigate and may even cause further confusion. Below is what I feel to be one of the most comprehensive and accessible guides on the subject. With this resource, buyers and sellers should be able to get a pretty good measure of their closing costs.
Purchaser’s Costs
Condominium and Cooperative (PURCHASER’S COSTS)
- Attorney fee (flat fee/varies)
- Mansion Tax for residential transactions of $1,000,000 or over
- At least $1 million, but less than $2 million (1%)
- At least $2 million, but less than $3 million (1.25%)
- At least $3 million, but less than $5 million (1.5%)
- At least $5 million, but less than $10 million (2.25%)
- At least $10 million, but less than $15 million (3.25%)
- At least $15 million, but less than $20 million (3.5%)
- At least $20 million, but less than $25 million (3.75%)
- More than $25 million (3.9%)
- Move-in deposit (refundable fee of $500 – $1,000)
- Move-in fee (non-refundable fee of $250 – $1,000)
- Purchase Application fee ($500 – $1,000)
- Due diligence questionnaire ($100 – $500)
- Closing adjustments for seller’s prepayment of maintenance, common charges, real estate taxes (in condominiums), and other applicable utilities prior to closing (varies)
- Homeowners Insurance (varies)
Condominium Only
PURCHASER’S COSTS +
- Title charges (varies depending on purchase price but regulated by New York State)
- Title Insurance (use online rate calculator from a title company website for accuracy)
- Additional charges for searches and recording/filing fees vary among title insurers (varies)
- Recording fees: $250-$750
- Municipal searches: $350-$500
- Title endorsements: $25-$150
- If Financing
- Mortgage Title Insurance (use online rate calculator from a title company website for accuracy)
- Financing fees (varies depending on lending institution)
- NYS Mortgage Recording Tax
- If mortgage is less than $500,000 multiply by 1.80% of the mortgage amount and then deduct $30
- If mortgage is $500,000 or more multiply by 1.925% of the mortgage amount and then deduct $30
- Mortgages made within 12 months of one another are linked for purposes of calculation in NYC
New Construction/Conversion Condominium Only (Sponsor Sales)
PURCHASER’S COSTS +
CONDOMINIUM ONLY +
Sponsor may include purchaser payment of the following:
- Sponsor’s legal fees (up to $3,000)
- Sponsor’s NYC and NYS transfer taxes based on inflated purchase price
- FIRST, calculate the transfer taxes on the base price
- NYC Transfer Tax
- 1% of sales price if sale is $500,000 or less
- 1.425% of sales price if sale is greater than $500,000
- NYS Transfer Tax
- $2 for every $500 of the sales price if under $3,000,000
- $3.25 for every $500 of the sales price if $3,000,000 or over
- This leads to an inflated purchase price
- NYC Transfer Tax
- THEN, calculate transfer taxes once again using the above guidelines on the inflated purchase price
- Keep in mind that the inflated purchase price may trigger a Mansion Tax if the amount adjusts to $1,000,000 or over
- FIRST, calculate the transfer taxes on the base price
- If purchasing more than one unit at the same time or within a twenty-four (24) month period, buyer may be responsible for transfer taxes at a higher “commercial” rate (2.625% instead of 1.425%, if the aggregate of the purchase price exceeds $500,000.)
- Working Capital Fund contribution (up to two months’ common charges)
- Reserve Fund contribution (up to three months’ common charges)
- Share of resident manager’s unit (depends on purchaser’s % common interest in building)
Cooperative only
PURCHASER’S COSTS +
- Coop Search Report/Lien Search (up to $450)
- If Financing
- Financing fees (varies depending on lending institution)
- Aztec Recognition Agreement fee (up to $400)
Seller’s Costs
Cooperative and Condominium (SELLER’S COSTS)
- Attorney fee (flat fee/varies)
- Brokerage commission (up to 6% of sale price)
- NYC Transfer Tax
- 1% of sale price if sale is $500,000 or less
- 1.425% of sale price if sale is greater than $500,000
- NYS Transfer Tax
- $2 for every $500 if the sales price is under $3,000,000
- $3.25 for every $500 if the sales price is $3,000,000 or over
- If CEMA is filed, continuing lien deduction allowed where the seller pays NYS transfer tax on the sale price minus the assigned mortgage
- New York State Estimated Capital Gains Withholding
- 8.82% of the estimated gain is withheld at closing and submitted to NYS Income Tax, unless the following applies:
- Seller is a resident of NYS at the time of the sale; or
- Property was seller’s principal residence for 2 out of the last 5 years; or
- Seller has set up a 1031 Exchange or other exemption under the Internal Revenue Code (IRC)
- 8.82% of the estimated gain is withheld at closing and submitted to NYS Income Tax, unless the following applies:
- Federal Withholding Tax (FIRPTA)
- Purchaser withholds 10% (<$1,000,000) or 15% (>$1,000,000) of purchase price if seller is a non-exempt foreign national
- Move-out deposit (refundable fee of $500 – $1,000)
- Move-out fee (non-refundable fee of $250 – $1,000)
- Closing adjustments to purchaser for seller’s failure to pay maintenance, common charges, real estate taxes (in condominiums), and other applicable utilities prior to closing (varies)
Condominium Only
SELLER’S COSTS +
- Application/Waiver fee (up to $1,000 depending on condominium)
- Flip tax/Transfer fee (if applicable; varies depending on condominium)
- Transfer tax document (ACRIS) preparation ($150)
- Pickup fee to title closer (up to $250 per mortgage) (if mortgage on premises)
Cooperative Only
SELLER’S COSTS +
- Transfer agent fees (up to $1,000)
- Stock transfer tax ($0.05 per share)
- Flip tax (if applicable; varies depending on cooperative)
- Transfer tax filing fee ($100)
- Transfer tax document (ACRIS) preparation (up to $300)
- Payoff bank fees (up to $500 per payoff bank) (if mortgage on premises)
- UCC-3 filing fee ($75) (if mortgage on premises)
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