Discount is offered to all active duty military members, veterans and first respondes
FIRST-TIME HOME BUYERS
Home Buying Process
Buying your first home can be both exciting and confusing. The good news is you don't have to do it alone.
- Preparation Check your credit and pay off any outstanding credit loans to maximize your credit scores. Get a Pre-Approval letter from your bank.
- House Hunting: Pick a local Realtor to help start the home search. They are often a great resource for this process. You could also look for your dream house yourself and contact the listing agents directly.
- Make an Offer Put down an offer is the first step in a real estate transaction. Generally, there is no obligation for a verbal offer. However, signing a contract is totally different. DO NOT SIGN ANY CONTRACT without consulting with an attorney first.
- Retain Your Attorney Now it is time that you need the help of an experienced real estate Attorney. While not required by law, sellers and buyers of real estate transactions will always hire attorneys. The attorney will guide you throughout the process and handle all of the legal issues. Please do not hesitate to Contact Us at any time.
- Home Inspection In NY, it is almost certain that sellers will always give buyers $500 credit instead of the required Property Disclosure Form. The buyer will be taking the property "as is." Therefore, buyers should always hire a licensed home inspector to find out the property's condition and use the information in the inspection report to negotiate the contract.
- Signing Contract Your attorney will explain the contract to you to help you to understand and to sign the contract. Your attorney will address any of your consents and materialize the terms in the contract by creating clauses. At the end, you will sign the contract and place the security deposit with Seller Attorney's Escrow Account.
- Obtain Mortgage Here, your Loan Officer will guide you and complete your mortgage application to get a final mortgage commitment/approval.
- Board Application OPTIONAL This only applies to Coops or some Condos where buyers will have to submit application for the Board to approve or deny the purchase of the property.
- Schedule Closing After the Bank Attorney clears the file for closing and the seller's attorney has cleared all Title issues. Attorneys will schedule the Closing. Buyers should do their FINAL WALK-THROUGH within 48 hours prior to the scheduled Closing date.
- Closing This is the actual event where the Seller Deeds over the property and the Buyer and Banker pay for the purchase. Closing generally takes place at the Seller's Attorney's office or the Bank Attorney's office. Congratulations! Now you are a home owner.
- Post-Closing Sellers often request post-possession of the properties after the closing so they will have adequate time to move or to buy their new property. Normally 7 - 30 days is acceptable. Any timer period longer than 30 days should be carefully considered and discussed with your attorney.
More Info from the Attorney General of New York State https://ag.ny.gov/consumer-frauds/tips-for-first-time-home-buyers
POST CLOSING GUIDE
1. Set-up Utilities Accounts
A new buyer need to set-up new accounts, including Gas, Electric, water(only Staten Island), Cable and other utilities.
ConEd NYC 800-752-6633
Nationalgrid NYC 1-877-696-4743
2. Change Locks
New homeowners need to change the locks as soon as possible after the closing. Sellers might have given copies of keys to neighbors, real estate agents, or other people.
3. Update Mailing Address
Manually update addresses for bank accounts, credit card companies, and driver licenses. Also, set up forwarding addresses at the post office for each of the people moving into the new property. This service is free for one(1) year.
4. Mortgage Payment and other bills
Remember to make mortgage on time even when you did not receive the mortgage bill. You have the duty to do so under the mortgage agreement.
5. Apply for Star Tax Credit
The School Tax Relief (STAR) program provides eligible homeowners in New York State with relief on their property taxes.
6. DON’T BE SCAMMED!!!
You will receive mail offering to sell you a certified copy of your Deed for $60 - $200. THIS IS A SCAM, don’t not fall for it. You already have original and certified deed cost $5 at City Register.
WILL & TRUST ESTATE
Estate Planning
Estate Planning could be as simple as a will which is a couple of pages long or a complex instrument with many documents. Regardless of the size, the goal is to maximize what you leave behind for your loved ones.
It's very important to understand the key components before taking any action on your estate plan.
- A will is one of the fundamental tools in estate planning. It communicates your wishes to the probate court on how you like to distribute your assets. When there is no will, the State/court will decide how the asset will be distributed according to state law. Some of the assets will not be governed by a will and will not go through probate. For example, any assets with assigned beneficiaries: IRAs, 401(k)s, joint accounts, or property held in Tenants by the entirety. All Assets that go through the will must be probated by the courts.
- Trusts are traditionally used to circumvent the probate process and minimize estate taxes. The current Federal Estate exemption is $11.4 million and the N.Y.S. exemption is around $5.7 million. There are many different types of trust for different purposes. Contact our office for a detailed consultation on Trusts.
- Durable Power of Attorney is used to grant another individual to make decisions assigned on a person's behalf.
- Health Care Proxy is a specified type of POA that gives the power to another individual to make medical decisions in the event a person is incapacitated.
Co-op Closing Cost
Buying a Co-op?
Co-ops has many benefits over other types of property, especially in New York City. They are cheaper to purchasers compared to similar Condos and no more yard work or snow shoveling. Closing costs are also much lower. But what are the costs of buying a Co-op unit?
Attorney Fee: Most real estate attorneys charge anywhere from $2000 - $5000. The legal fee depends on the purchase price and the work involved.
Mansion Tax: 1% - 3.9% of the purchase price on property worth more than $1,000,000
Flip Tax or Contribution Fee: a flip tax is a transfer fee collected by the co-op during a sale. Information on who pays for it and how much it would cost will be in the co-op book, proprietary lease, or by-laws.
UCC title search fee: $500.00
When purchasing a new development, the Buyer would also have to pay for NYS and NYC transfer tax—1.40% for $500,000 or less, and 1.825% for more than $500,000. Often, the Sponsor will also require Buyers to pay for the Sponsor's attorney fee, usually between $3,000-$5,000.
Estimate Closing Cost summary for $500,000 Co-op
Attorney fee $2,000
Title Search $500
Mortgage fee $4,000 (including application fee, bank attorney fee, appraisal fee, and others)
Co-op Application fee and move-in fee $1,000
Total $7,000.
For new Developments, add on $7,000 NYS and NYC transfer tax and $3,000 Sponsor's attorney fee.
Total $17,000