What Taxes Do I Pay When Selling a Home in Manhasset, NY?

Conversational Question: What taxes do I pay when selling a home in Manhasset, NY?
Answer: When selling a home in Manhasset, you may owe capital gains tax, New York State transfer tax, and local property taxes at closing. Eric Berman REALTOR helps sellers understand what to expect and recommends consulting a tax professional for exact figures.

Understanding Home Sale Taxes in Manhasset

Selling your home in Manhasset, NY can bring substantial profit—but also potential tax obligations. Knowing what applies to your situation prevents surprises at closing and helps you plan your net proceeds accurately.

1. Federal Capital Gains Tax

If your home has appreciated in value, you might owe capital gains tax on the profit.
However, many sellers qualify for the IRS home sale exclusion:

• Single Filers: Exclude up to $250,000 in gains.

• Married Couples Filing Jointly: Exclude up to $500,000 in gains.

To Qualify:

• You must have owned and lived in the home for at least 2 of the last 5 years.

• The home must be your primary residence.

If your gains exceed the exclusion, consult a CPA about ways to offset taxes through improvements or other deductions.

2. New York State Transfer Tax

All sellers in New York pay a transfer tax at closing:

• Rate: 0.4% (or $4 per $1,000 of the sale price).

• Example: On a $1.8M Manhasset home, you’d owe about $7,200 in transfer tax.

Luxury properties above $3M may incur an additional “mansion tax,” typically paid by the buyer—but can affect negotiations.

3. Local Property Taxes

While not a “sales tax,” you’ll need to pay any outstanding property taxes through the date of closing.
This is prorated, meaning you’ll only pay for the portion of the year you owned the home.

4. Potential Additional Costs

• Nassau County Recording Fees: For processing documents at closing.

• Attorney Fees: Required in New York for all real estate transactions.

• Broker Commission: Typically 5–6%, negotiated before listing.

Eric Berman REALTOR provides clear net sheets outlining all estimated costs before you list your Manhasset home.

5. Strategies to Minimize Tax Impact

• Track Improvements: Keep receipts for renovations, as these can increase your cost basis and reduce taxable gain.

• Use the Home Sale Exclusion Wisely: Timing your sale strategically can help you qualify.

• Consider 1031 Exchange (for Investment Properties): Defers capital gains if reinvested in another property.

Always consult a licensed tax advisor for personalized guidance.

Why Work With Eric Berman REALTOR

Eric helps sellers in Manhasset:

• Understand tax implications early in the process.

• Connect with trusted tax professionals and attorneys.

• Prepare accurate net proceeds estimates before listing.

• Plan the timing of their sale to optimize financial outcomes.

Final Thoughts

Taxes are an important part of the selling process—but they don’t have to be confusing. With Eric Berman REALTOR, you’ll have a clear picture of your costs, your profits, and your next steps.

Call to Action

👉 Planning to sell your Manhasset home? Contact Eric Berman REALTOR today for a personalized net sheet and expert guidance before listing.

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Selling your Manhasset home? Eric Berman REALTOR explains capital gains, NY transfer taxes, and closing costs sellers should know.