Transfer Taxes When Selling in Nassau County, NY

By Raja Murthy | Updated August 17, 2026

When selling a home in Nassau County, the principal transfer tax is generally New York State's real estate transfer tax. The basic rate is $2 for every $500, or fractional part of $500, of consideration. For most residential sales, that is approximately 0.4% of the sale price. The seller is generally responsible for this basic tax.

A separate 1% additional tax - commonly called the mansion tax - applies when residential property sells for $1 million or more. This tax is generally paid by the buyer, not the seller. If the buyer is exempt or fails to pay, New York law can shift responsibility. Because exceptions and contract terms may affect a particular transaction, the parties should rely on their New York real estate attorneys and closing professionals for transaction-specific advice.

The Basic New York State Transfer Tax

New York calculates the basic real estate transfer tax at $2 for each $500, or fractional part of $500, of consideration. Consideration is generally the amount paid for the property, subject to the definitions and adjustments in New York law.

A simple estimate is 0.4% of the sale price, although the statutory calculation rounds any fractional $500 increment upward.

·        Example: On an $850,000 sale, the estimated basic state transfer tax is $3,400.

·        Example: On a $1,100,000 sale, the estimated basic state transfer tax is $4,400.

These examples address the basic state transfer tax only. They do not include legal fees, recording fees, mortgage-related charges, title expenses, property-tax adjustments, brokerage compensation, credits, or other closing costs.

Who Generally Pays the Basic Transfer Tax?

New York generally imposes the basic real estate transfer tax on the grantor, meaning the seller. If the seller fails to pay, the buyer may also become liable under state law and may have a claim against the seller for reimbursement.

A purchase contract may address credits or other economic arrangements between the parties, but it does not replace the statutory filing and payment rules. A seller should have a New York real estate attorney review the contract and closing statement rather than relying on a general online estimate.

The Mansion Tax Usually Belongs to the Buyer

For residential property with consideration of $1 million or more, New York imposes an additional tax equal to 1% of the full consideration. This is commonly known as the mansion tax.

The mansion tax is generally paid by the buyer. For example, on a $1,100,000 residential purchase, the mansion tax is $11,000. It applies to the full $1,100,000, not only to the amount above $1 million.

Although the mansion tax is usually a buyer cost, sellers should understand it because it can influence buyer affordability and negotiations near the $1 million threshold. The seller's attorney should explain any unusual allocation or exemption.

Nassau County Is Different From New York City

New York City imposes its own Real Property Transfer Tax in addition to New York State taxes. That separate city tax applies to property within New York City, not to a typical Nassau County sale.

Nassau County transactions can still include County Clerk recording fees and other filing charges. Those items should appear separately on the closing statement and should not be confused with New York City's percentage-based transfer tax.

Forms and Closing Documents

A typical New York real property transfer requires Form TP-584, the Combined Real Estate Transfer Tax Return, together with other documents required for the transaction and recording. Form RP-5217 may also be required for many deed transfers. Different rules can apply to cooperative apartments, exempt transfers, estates, trusts, entities, and other specialized transactions.

The seller's attorney, buyer's attorney, title company, and closing professionals coordinate the required forms, tax payments, and recording package. Sellers should review the final closing statement and confirm that the transfer tax and related charges are correctly identified.

What Sellers Should Review Before Listing

·        Estimated sale price and the resulting basic state transfer tax

·        Mortgage payoff and any satisfaction or recording charges

·        Attorney fees, title-related items, and property-tax adjustments

·        Any open permits, liens, judgments, or title issues

·        Negotiated credits or concessions

·        Brokerage compensation, which is negotiable and not set by law

A pre-listing estimate can help a seller understand likely net proceeds, but the final amount depends on the contract, payoff information, adjustments, and closing documents.

Frequently Asked Questions

How much is New York's basic transfer tax on a Nassau County home sale?

The basic rate is $2 for every $500, or fractional part of $500, of consideration. This is approximately 0.4% for most straightforward residential sales. Your attorney or closing professional should calculate the exact amount.

Does Nassau County charge New York City's transfer tax?

No. New York City's Real Property Transfer Tax applies to property located within New York City. A Nassau County transaction may still involve state transfer tax, County Clerk recording fees, and other closing charges.

Does the seller pay the mansion tax?

Generally, no. The 1% mansion tax on residential transfers of $1 million or more is generally paid by the buyer. If the buyer is exempt or fails to pay, responsibility may shift under state law.

Can the parties negotiate transfer-tax costs?

The parties may negotiate price, credits, and certain economic terms, but statutory tax liability and filing requirements still apply. The attorneys should document any allocation correctly and explain its legal and financial effect.

Which transfer-tax form is commonly used?

Form TP-584 is the Combined Real Estate Transfer Tax Return commonly used for New York real property conveyances outside New York City. Additional forms or schedules may be required depending on the property and transaction.

The Bottom Line

For a typical Nassau County home sale, the seller should plan for New York's basic real estate transfer tax, generally estimated at about 0.4% of the sale price. The 1% mansion tax at $1 million or more is generally a buyer obligation, although it can still affect negotiations. Nassau sellers should also budget for recording charges and the other costs shown on their individual closing statements.

If you are considering selling in Nassau County, schedule a consultation to discuss pricing, preparation, likely closing-cost categories, and a practical timeline for your property.

About Raja Murthy

Raja Murthy is a licensed real estate agent with NB Elite Realty serving Nassau County and Long Island. He has lived in Farmingdale for more than three decades and helps buyers, sellers, and investors navigate real estate decisions with honest guidance, local knowledge, and strong negotiation.

NB Elite Realty | (516) 908-8676

Official References

New York State Department of Taxation and Finance - Real Estate Transfer Tax

New York State - Current Real Estate Transfer and Mortgage Recording Tax Forms

Nassau County Clerk - Real Estate Fees

Disclaimer: Equal Housing Opportunity. Raja Murthy is a licensed real estate agent regulated by the New York Department of State, Division of Licensing Services. This article provides general information only and is not legal, tax, financial, accounting, title, or contracting advice. Laws, forms, fees, and transaction terms can change. Consult the appropriate licensed professionals regarding your property and transaction.