How Much Does It Cost to Buy a House in New York?

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By Jon Stubbs Updated May 17, 2024

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The average home buyer in New York spends between $36,151 and $130,935 when purchasing a $478,973 home — the state median value.

Keep in mind, this is just the cost of buying a home. After you close, you'll still need to budget for all the ongoing costs of homeownership.

Luckily, Clever Real Estate can help make buying a home more affordable. Working with a Clever agent means you'll not only get great service from start to finish, but you could also be eligible for up to 0.5% cash back after closing. That's about $2,395 back on an average-priced home in New York!

Clever will connect you with a top local agent and send you a check after closing. Contact Clever for full-service realtor recommendations.

Average closing costs in New York

Expense Amount
Earnest money deposit (1-3%) $4,790 to $14,369
Down payment (3.5-20%) $16,764 to $95,795
Cash reserves $5,068 to $7,602
Closing costs (1.62%) $7,761
Inspection $259
Appraisal $259
Moving $1,250 to $4,890
Total $36,151 to $130,935
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Buyer closing costs in New York

While the other costs to buy a house in New York are pretty transparent, New York closing costs are a bit more nuanced. They're actually a series of smaller costs lumped together into one total. Here's a breakdown of all of the New York closing costs you'll likely pay when buying a home.

Closing cost Amount
Closing fee $479
Recording fee $115
Title service fees $0
Origination fee $2,395
Underwriting fee $600
Discount points $3,832 per point
Lender's title insurance $341
Owner's title insurance Typically paid by seller
Prorated property tax Varies
Real estate transfer tax Typically paid by seller
Total $7,761
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Does the buyer or seller pay closing costs in New York?

The seller typically pays the bulk of the closing costs in New York. The seller is responsible for costs like title insurance, real estate transfer tax, and recording fees. The seller also pays their listing agent.

Traditionally, the seller has covered the buyer's agent fees as well. However, a November 2023 lawsuit decision against the National Association of Realtors makes it likely that buyers will be responsible for their own agent's fees going forward.

Will the NAR lawsuit change how real estate commission works?

On March 15, 2024, the National Association of Realtors agreed to pay $418 million in damages to settle a real estate commission lawsuit the industry group lost in November 2023. 

While the full impact of the settlement is yet to be determined, experts believe that the change will eventually lead to lower buyer's agent commissions and give buyers the ability to negotiate those commissions based on the services they need. 

The terms of the settlement are scheduled to take effect in mid-July 2024. But, the settlement hasn't been officially approved yet, and it could be delayed or changed by objections. We'll continue to monitor the status of the settlement and the effects it has on the real estate industry.

» READ MORE:

Keep in mind, closing costs are often negotiable. Motivated sellers will sometimes agree to pay for some of the buyer's closing costs. However, to win the negotiation battle, you'll need a great agent who can work out a deal with the seller. Clever can match you with a top agent in your area that can get the seller to shoulder more of the above costs.

Contact us at Clever for top agent recommendations.

Cost to buy a house in New York calculator

Ongoing costs of homeownership in New York

Unfortunately, the cost to buy a house is just the beginning. After closing, you'll officially own the home and begin paying for the ongoing costs of homeownership.

Besides the expenses outlined above, you'll also want to consider private mortgage insurance (PMI) and homeowner's association (HOA) fees.

  • If you pay less than 20% as a down payment on your house, you'll probably have to pay PMI monthly until you get to 20% equity. For the average New York homeowner, this is between $208 to $705 a month.
  • Some neighborhoods have HOA fees for the care and maintenance of common areas. The national average is around $250 per month.

» MORE: The true cost of homeownership

Top ways to save money when buying a house in New York

1. Look into better financing options

Paying off debts and getting your credit in the best shape possible before applying for a loan will help you get a better interest rate, which will lower your monthly payments for the life of the loan.

You can also shop around to compare lenders so you get the lowest fees and interest rates available. It may be a good idea to enlist the help of a mortgage broker if you're not sure how to go about vetting lenders.

2. Participate in home buyer programs in New York

New York has a few programs designed to make entry to homeownership easier. For instance, the State of New York Mortgage Agency (SONYMA) offers first-time buyers favorable lending options and down payment assistance loans. There is also the USDA’s Section 502 Direct Loan Program, which provides payment assistance to very low-income buyers looking for affordable housing in eligible rural areas.

You may also be eligible for local programs in your city — check out the HUD’s website for more information.

» MORE: First-time home buyer programs everyone should know about

3. Partner with an expert agent

Some real estate companies, like Clever, offer home buyers a percentage of their home's price back after the sale finalizes.

That means if you work with a Clever agent, you'll not only get the expertise that helps you get the best deal possible — you could also get up to 0.5% of your home price back after closing!

Find your agent through Clever, qualify for cash back!

Clever matches you with top local agents so you can compare options and choose the best fit. And eligible buyers can get cash back after closing.

Fill out the form below and get started now. Clever's service is 100% free with no obligation.

Methodology

The Clever team of researchers gathered data for property taxes, transfer taxes, and recording fees using publicly available information. We found average costs for attorney fees, title insurance, and other services by requesting quotes from local providers. 

Home values are based on Zillow data as of June 2024.

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Authors & Editorial History

Our experts continually research, evaluate, and monitor real estate companies and industry trends. We update our articles when new information becomes available.

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