A home is a place to seek comfort and security temporarily or for most, a lifetime. Therefore, a house is probably the most significant and valuable item that you can purchase. Unfortunately, the most valuable transaction is also one of the most misunderstood.
The simplest but most important aspect of a residential real estate contract that everyone has to understand is that it is not binding unless it is put in writing and signed by both the buyer and the seller. Before buying a house and signing that precious contract, look around first, know the house’s history, and observe the local community. Don’t sign right away and have a licensed engineer, inspector, and exterminator scrutinize the house. It is not shameful to inspect something thoroughly before you put money into it.
The law requires the seller to maintain complete disclosure of the house’s condition to the buyer or be forced to give a $500 credit. Sellers have to provide an answered questionnaire with a total description of the home’s various aspects. A Nassau County buyer should be aware of asbestos issues, underground oil tanks, and lead paint from old houses.
A title company representing the buyer will conduct a property search once the contract is signed. The title company will ensure the smooth transfer of the property from the seller to buyer, and guarantee the legitimacy of the property ownership. Nassau County residential deals have this familiar setback of the seller not having a Certificate of Occupancy or Certificate of Completion for the house. If the seller does not have either of the two certificates, an expediter is recommended to make the legality of the house possible. If you want to find out whom currently owns a certain property in Nassau County, you should go to the County Clerk’s office personally because this information will not be given on the phone or online.
For the financing of the house, buyers can attain this through mortgage companies or banks. The buyer will submit tax returns, financial records, and bank statements with the application before the bank decides to lend money to the buyer. Both State and Federal laws affirm that no bank should discriminate buyers based on their color, sex, race, disability, religion, national origin, and familial status. If your civil rights have been violated while buying or renting a home, you can file a housing discrimination complaint. Specialists will determine if the violation was against the Fair Housing Act.
Closing a deal means the seller has presented the clean deed and title of the house to the buyer and the buyer gives the seller the equivalent and agreed amount of money stated in the contract. Before the deal is closed, the buyer should inspect the home again and see if it is in the condition stipulated in the contract’s agreement.
The adjustment of the taxes is done at the closing. Adjustments still depends on the terms of the contract. The computation of tax in the state of New York is usually at a rate of two dollars for each $500 of consideration or $4 per $1,000 of consideration. Transfer tax is usually paid by the seller. The real property tax for a one to three family home or condominium in all counties of New York is 1% of consideration for $500,000 or less, and 1.425% of consideration for homes exceeding $500,000. Transfer tax of multi-residential property, commercial property, four to six family homes, and vacant lots is 1.425% of consideration for $500,000 or less, and 2.625% of consideration for properties more than $500,000 in worth.
If the property price is $1,000,000 or exceeds it, the seller or grantor normally pays the transfer tax while the buyer pays the mansion tax. The tax rate for this price is 1% of overall consideration. If you’re asking about mortgages, the mortgage tax in Nassau County is 1.05%. If it is a one to six family home, the lender will contribute the 0.25% of the tax unless they are exempted. The borrower may have to shoulder the total mortgage tax. A one or two family home may benefit from a 0.30% deduction of the home’s first $10,000 mortgage.
If the seller is exempted from tax or doesn’t pay it, the buyer should pay the tax. If the buyer is the one exempted from paying tax, the buyer must pay it. However, there is an additional 1% real estate tax which must be paid by the seller and if they are exempted, the buyer shoulders it.
Now you already have your property but there are slight changes you want to apply. If you want to remove or add your name on a property deed, you must contact a lawyer. Property deeds can’t be altered. You have to file a new deed at the Nassau County Clerk’s office. If you need assistance with the document filing, you must always have a legal advisor. You can also ask for a copy of your mortgage or deed at the County Clerk’s office.
Certificate of Occupancy, survey, and title reports are not available at the County Clerk. You must seek help from your village or town for the survey’s copy. The title report of your home is generally done by an independent company.
Now, we are finally equipped you with enough Nassau County real estate transaction information. Deals won’t be so confusing anymore and another weight is lifted when you are looking for a place you can call your own. Let us help you find that dwelling without the headaches and baggage. We will make it easy for you.
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