By Eric Berman, REALTOR® | The Eric Berman Team at Compass
TL;DR:
Buffalo is the one relocation in this series that doesn't leave New York, and that changes more than it seems. There's no nonresident tax withholding when you sell your Long Island home, because you're still a New York resident. The legal framework is the same — attorneys, the state disclosure form, the state transfer tax — but Western New York practice differs from downstate in ways worth knowing before an offer: contracts are commonly drafted by the agents and then reviewed by attorneys, and sellers customarily provide the abstract of title and survey. Housing costs far less; property taxes are high relative to values; and your STAR benefit has to be set up again at the new home.
The Long Island Sale Is Simpler Here
Every other destination in this series comes with a warning about Form IT-2663, the estimated payment a nonresident owes at closing when selling New York property. Moving to Buffalo, it doesn't apply. You remain a New York resident, so any taxable gain is simply reported on your New York return as it would be for any resident.
The rest of the sale works as usual. Know what the home nets — commission, the New York State Transfer Tax at four dollars per thousand, attorney fees, preparation, and carrying costs — before you start looking. The full breakdown of what a Long Island sale costs covers each line. For a long-held home, the federal exclusion of $250,000 single or $500,000 filing jointly may not cover the whole gain, and improvement receipts reduce what's taxable; the tax implications post explains how.
At about 450 miles, this is a manageable drive, which tempts people to try to line up both transactions. The discussion of whether to sell or buy first covers the trade-offs.
Same State, Different Habits
A Long Island seller will recognize the legal framework in Buffalo. New York law governs both ends: the Property Condition Disclosure Statement applies there as it does here, attorneys are involved in the transaction, and the state transfer tax is the same. But local practice in Western New York differs from downstate in two ways that matter.
The first is how the contract gets written. On Long Island, the attorneys typically draft and negotiate the contract after an offer is accepted. In the Buffalo area, the purchase contract is commonly prepared by the agents on a standard form at the offer stage and made subject to review and approval by each side's attorney within a short window. The attorneys can still approve, disapprove, or propose changes, but the deal takes shape earlier and faster than a Long Island buyer expects. Hire your attorney before you start making offers, so they're ready when the review window opens. The fuller picture of what a New York real estate attorney does describes the role on the Long Island side.
The second is who provides the title documents. In Western New York, sellers customarily provide an updated abstract of title and a survey, rather than the buyer ordering a title search as on Long Island. As a buyer that works in your favor; it's also worth knowing if you ever sell there.
Because the disclosure form is the same, what you learned completing it on your Long Island sale carries over. The disclosure post covers the 56 questions and the 2024 changes.
Property Taxes and STAR
Housing in the Buffalo area costs far less than on Long Island, and property tax bills are generally lower in dollars. But effective tax rates are high relative to home values, so a lower price doesn't translate into a proportionally lower tax bill. Pull the actual current bills on any home you're considering.
Expect more than one bill. Town and county taxes and school taxes are typically billed separately and on different schedules, which affects budgeting and how taxes are adjusted at closing. Ask how the bills fall for any specific property.
STAR, the state's school tax relief program, is the in-state version of the filing requirements found in other states in this series. If you receive a STAR benefit on your Long Island home, it doesn't automatically move with you. Homeowners generally need to register for the STAR credit at the new home through the New York State Department of Taxation and Finance. Enhanced STAR for qualifying older homeowners has its own income requirements. Register promptly after closing, and check the current rules with the state rather than assuming your existing benefit carries over.
Older Houses and Lake-Effect Winters
Much of the region's housing is older, which brings certain inspection questions forward: basements and drainage, heating systems, roofs that carry heavy snow loads, and lead paint in homes built before 1978, which comes with federal disclosure requirements. Radon is elevated in parts of New York, so testing is worth doing.
Lake-effect snow off Lake Erie means heavier and longer winters than on Long Island, with amounts varying considerably across the region. Heating costs on an older home can be substantial, so ask for a year of actual utility bills rather than relying on the listing.
A Worked Example
Consider a composite case — a Nassau County couple moving to the Buffalo area to be near family, selling a colonial that comped near $950,000 and buying at about $380,000.
On the Long Island side, their attorney confirmed that because they were staying in New York, no nonresident payment would be withheld at closing, which kept the full proceeds available for the purchase. They sold first.
In Buffalo, their first offer went in on a standard form prepared by the agents, and their newly hired Buffalo attorney had a few days to review it. The attorney proposed two changes, which the seller accepted. The seller provided the abstract and survey.
They also discovered the town and school tax bills came at different times of year, which changed how they budgeted, and they registered for the STAR credit at the new address right after closing.
Where to Start
Build a net proceeds estimate on the Long Island home and confirm with your attorney that no nonresident withholding applies. Engage a New York real estate attorney for the sale early. Before you start making offers in Buffalo, hire a local attorney who can act quickly during the review window. Pull the actual town, county, and school tax bills on any home you're considering, and register for the STAR credit after closing. Look closely at basements, heating, and roofs, test for radon, and ask for a year of utility bills. For a current read on your Long Island home, start with a quiet look at present value.
The Honest Bottom Line
Moving from Long Island to Buffalo is the rare relocation where the rules stay mostly the same. You keep your New York residency, so there's no nonresident withholding on your sale, and the disclosure form and transfer tax work as they do here.
What changes is local practice — contracts drafted earlier by the agents and reviewed by attorneys on a short clock, sellers providing the abstract and survey — along with property taxes that are high relative to values and a STAR benefit that has to be set up again. None of it is difficult once you know to expect it. For anyone working through what their Long Island home would net before any of that begins, that conversation is available whenever the timing suits.
This is general information, not legal, tax, or financial advice. Contract practices, title customs, STAR rules, and tax billing vary by county and change over time. Confirm specifics with a Western New York attorney, the New York State Department of Taxation and Finance, and the relevant town and county, and confirm your Long Island sale details with a licensed New York real estate attorney and a CPA.
FAQs
Do I owe the nonresident withholding if I move to Buffalo?
No. Form IT-2663 and the estimated payment at closing apply to sellers who are no longer New York residents. Moving to Buffalo, you remain a New York resident, so it doesn't apply to the sale of your Long Island home. Any taxable gain is reported on your New York return as it would be for any resident. Confirm with your attorney and CPA.
Is buying a home in Buffalo the same as on Long Island?
The legal framework is the same — New York law, attorneys, the Property Condition Disclosure Statement, and the state transfer tax. Local practice differs. In the Buffalo area, the purchase contract is commonly prepared by the agents on a standard form and made subject to attorney approval within a short window, and sellers customarily provide the abstract of title and survey. Hire a local attorney before you start making offers.
Does my STAR exemption transfer when I move within New York?
Not automatically. Homeowners moving within the state generally need to register for the STAR credit at the new home through the New York State Department of Taxation and Finance, and Enhanced STAR for qualifying older homeowners has its own income requirements. Register promptly after closing and check the current rules with the state rather than assuming your existing benefit carries over.
Are property taxes lower in Buffalo than on Long Island?
Lower in dollars, since homes cost far less, but effective rates are high relative to home values, so the savings aren't proportional to the price difference. Town and county taxes and school taxes are typically billed separately on different schedules. Pull the actual current bills on any home you're considering.
What should I inspect for in an older Buffalo-area home?
Basements and drainage, heating systems, and roofs that carry heavy snow loads. Homes built before 1978 come with federal lead-based paint disclosure requirements, and radon is elevated in parts of New York, so testing is worthwhile. Ask for a year of utility bills, since heating an older home through a lake-effect winter can be expensive.
By Eric Berman, REALTOR® | The Eric Berman Team at Compass
Eric Berman | Long Island & Queens Associate Broker | Compass
1468 Northern Blvd, Manhasset, NY 11030
(917) 225-8596 | eric@ericbermanre.com | theericbermanteam.com
