State's Closing Costs Highest in Nation

Daily Gazette (Schenectady, NY) (08/08/08); Schlett, James
New York tops Bankrate.com's annual closing cost survey for the fourth consecutive year; and Robert Hayes, president of the Mortgage Bankers Association of Northeastern New York, says the high ranking is no surprise. "It's simply a reflection of doing business in New York," he says of the impact of state taxes levied on lenders and the involvement of legal representatives for the buyer, seller and lender on closing costs. The average closing cost is $4,016 in New York City and $3,975 in Buffalo, and these numbers are likely to rise as a result of a new law that allows counties to raise mortgage recording fees. Salvatore Prividera, a spokesman for the New York State Association of Realtors, believes this will make it more difficult for some people to become homeowners.