ChasBB Posted June 1, 2009 Share Posted June 1, 2009 Closing paper for sale of home lists an NFTA fee of $1000. Is this normal? I've never heard of this fee. Link to comment Share on other sites More sharing options...
Live&DieBillsFootball Posted June 1, 2009 Share Posted June 1, 2009 Closing paper for sale of home lists an NFTA fee of $1000. Is this normal? I've never heard of this fee. Usually there's a $30 courier fee, but in Erie County they are allowed to round it up to the nearest thousand. Either that or it's a fee for your attorney to ride the Metro Bus to your closing. Link to comment Share on other sites More sharing options...
Lurker Posted June 1, 2009 Share Posted June 1, 2009 That's an "emergency tax" passed many years ago to fund the NFTA when it was basically insolvent. In true WNY form, the tax was never repealed, even though the NFTA's been rolling in money in recent years due to the success of the Buffalo Airport. The FY2010 NFTA budget shows $7.5 million in 'mortgage tax' revenue (page 17). Link to comment Share on other sites More sharing options...
bills44 Posted June 1, 2009 Share Posted June 1, 2009 In NYS, a transfer tax equivalent to .4% of the sale price (rounded up to the next $500) is payable upon the transfer of real estate Erie County levies a surcharge equivalent to .5% of the sale price (again, rounded up to the next $500) on the transfer tax. Supposedly, this surcharge goes to the NFTA. So, for a house in Erie Co. that sells for $250k, the total transfer tax is $2250. Generally, the Seller pays this fee. Link to comment Share on other sites More sharing options...
ChasBB Posted June 1, 2009 Author Share Posted June 1, 2009 In NYS, a transfer tax equivalent to .4% of the sale price (rounded up to the next $500) is payable upon the transfer of real estate Erie County levies a surcharge equivalent to .5% of the sale price (again, rounded up to the next $500) on the transfer tax. Supposedly, this surcharge goes to the NFTA. So, for a house in Erie Co. that sells for $250k, the total transfer tax is $2250. Generally, the Seller pays this fee. All: Thank you very much for the info. I thought maybe my attorney was building up his vacation fund, so I'm relieved to learn that this is legitimate. What a racket, though! Link to comment Share on other sites More sharing options...
Tcali Posted June 1, 2009 Share Posted June 1, 2009 Closing paper for sale of home lists an NFTA fee of $1000. Is this normal? I've never heard of this fee. i want to laugh but its no laughing matter.....thats brutal....and sounds like they-in their desperation---chose that manner to sneak in another huge tax increase. Link to comment Share on other sites More sharing options...
Tcali Posted June 1, 2009 Share Posted June 1, 2009 In NYS, a transfer tax equivalent to .4% of the sale price (rounded up to the next $500) is payable upon the transfer of real estate Erie County levies a surcharge equivalent to .5% of the sale price (again, rounded up to the next $500) on the transfer tax. Supposedly, this surcharge goes to the NFTA. So, for a house in Erie Co. that sells for $250k, the total transfer tax is $2250. Generally, the Seller pays this fee. plus the brokerage fees....so 6% + 1%......yikes. Link to comment Share on other sites More sharing options...
plenzmd1 Posted June 2, 2009 Share Posted June 2, 2009 In NYS, a transfer tax equivalent to .4% of the sale price (rounded up to the next $500) is payable upon the transfer of real estate Erie County levies a surcharge equivalent to .5% of the sale price (again, rounded up to the next $500) on the transfer tax. Supposedly, this surcharge goes to the NFTA. So, for a house in Erie Co. that sells for $250k, the total transfer tax is $2250. Generally, the Seller pays this fee. All i can say is WOW!!!!! Link to comment Share on other sites More sharing options...
KD in CA Posted June 2, 2009 Share Posted June 2, 2009 All: Thank you very much for the info. I thought maybe my attorney was building up his vacation fund, so I'm relieved to learn that this is legitimate. What a racket, though! Legal, yes. Legitimate? Sounds more like yet another reason why NYS finished dead last in a study about the level of freedoms in the various states. Link to comment Share on other sites More sharing options...
ChasBB Posted June 2, 2009 Author Share Posted June 2, 2009 Legal, yes. Legitimate? Sounds more like yet another reason why NYS finished dead last in a study about the level of freedoms in the various states. Even as I typed the word "legitimate", I was thinking what you said -- it is definitely a reach to consider taxes like this legitimate. Nice link, btw -- thanks. Link to comment Share on other sites More sharing options...
DC Tom Posted June 2, 2009 Share Posted June 2, 2009 Even as I typed the word "legitimate", I was thinking what you said -- it is definitely a reach to consider taxes like this legitimate. Nice link, btw -- thanks. That's actually pretty normal. Maryland's I know is half a percent, with counties adding on a half-percent more; Virginia's is two-thirds of a percent. DC, more than one percent. Did a quick spot-check on the intertubes, and the states I picked have transfer taxes around half a percent. The NFTA tax is ludicrous, of course...but then, it's the state that said "Oh, yeah, the Thruway toll will last only as long as it take to pay the bond off, sure... ") Link to comment Share on other sites More sharing options...
Marv's Neighbor Posted June 2, 2009 Share Posted June 2, 2009 When we sold our home in Seattle, 6 years ago, we got hit with an $8000 "Excise Tax." The tax went to King County, whom I call CHA-CHING county. Link to comment Share on other sites More sharing options...
ExiledInIllinois Posted June 2, 2009 Share Posted June 2, 2009 Legal, yes. Legitimate? Sounds more like yet another reason why NYS finished dead last in a study about the level of freedoms in the various states. Ya... In regards to that study... But you can't buy a bottle of whiskey in a New Hampshire supermarket or 711... How free can NH be? Just like NYS. Link to comment Share on other sites More sharing options...
Arkady Renko Posted June 2, 2009 Share Posted June 2, 2009 Hey, economists say tax harmful behaviors. Too many people leaving the state? Tax them on their way out and maybe fewer will leave. Link to comment Share on other sites More sharing options...
BuffaloBill Posted June 2, 2009 Share Posted June 2, 2009 That's an "emergency tax" passed many years ago to fund the NFTA when it was basically insolvent. In true WNY form, the tax was never repealed, even though the NFTA's been rolling in money in recent years due to the success of the Buffalo Airport. The FY2010 NFTA budget shows $7.5 million in 'mortgage tax' revenue (page 17). Seriously - I thought the tax wizards in California were creative when I lved there but NYS is running away with the prize. I guess the NYS legislature will never attribute continued polulation declines to an overly burdensome tax situation. Link to comment Share on other sites More sharing options...
Lurker Posted June 2, 2009 Share Posted June 2, 2009 Seriously - I thought the tax wizards in California were creative when I lved there but NYS is running away with the prize. I'll bet the California pols haven't thought of this scam yet, either: Margaret Orrange served 30 years as North Collins town clerk before retiring. Well, sort of retiring. She filed her retirement papers in December 2007, at 62, even though she had won re-election to another four-year term the month before. So Orrange was in Town Hall for the January 2008 swearing-in ceremony, and back on the job the next day — never missing a day’s work although she began collecting a pension from a job she still holds today. Normally, Orrange would be collecting a $24,000 annual pension. But since her pay is $38,000, the pension is cut off at about $19,000, The News estimates. Next year, when she turns 65, however, Orrange can collect the full $24,000 pension as well as her full $38,000 paycheck, for a total of $62,000. Link to comment Share on other sites More sharing options...
ChasBB Posted June 3, 2009 Author Share Posted June 3, 2009 I'll bet the California pols haven't thought of this scam yet, either: Margaret Orrange served 30 years as North Collins town clerk before retiring. Well, sort of retiring. She filed her retirement papers in December 2007, at 62, even though she had won re-election to another four-year term the month before. So Orrange was in Town Hall for the January 2008 swearing-in ceremony, and back on the job the next day — never missing a day’s work although she began collecting a pension from a job she still holds today. Normally, Orrange would be collecting a $24,000 annual pension. But since her pay is $38,000, the pension is cut off at about $19,000, The News estimates. Next year, when she turns 65, however, Orrange can collect the full $24,000 pension as well as her full $38,000 paycheck, for a total of $62,000. Have your cake and eat it, too -- nice gig this lady has going. Unreal. Link to comment Share on other sites More sharing options...
Recommended Posts