Buying in Larchmont comes with one big question beyond your down payment: how much cash will you need to close? If you are a first‑time or move‑up buyer, it can feel like fees and taxes pop up from every direction. The good news is you can estimate most of it early and avoid surprises. In this guide, you will learn the typical closing cost range in Westchester, how New York taxes shape your budget, what changes for condos and co‑ops, and realistic examples you can use to plan. Let’s dive in.
What buyer closing costs include
Closing costs are the one‑time expenses due at settlement in addition to your down payment. In Larchmont and across Westchester, you will see these common line items:
- Loan charges if you finance the purchase. This includes origination, appraisal, credit report, and underwriting fees. Many buyers see a combined lender fee range from a few hundred to several thousand dollars depending on the program.
- Title and settlement services for condos and single‑family homes. Expect title search, title insurance, recording fees, and a closing fee. Title insurance is a one‑time premium based on price.
- Attorney’s fees. In New York it is customary for both buyer and seller to have their own counsel. Buyer attorney fees often fall around $1,000 to $3,000 depending on complexity.
- Prepaids and escrows. You usually pay the first year of homeowners insurance at closing and fund an escrow account with a few months of property taxes and insurance.
- Government taxes and recordings. New York has a state transfer tax and, when you record a mortgage, a mortgage recording tax. For purchases of $1,000,000 or more, the state charges a separate mansion tax that the buyer pays.
- Inspections and miscellaneous items. Home inspection, pest or sewer checks as needed, plus small wire or courier fees.
How much to budget in Westchester
Across many U.S. markets, total buyer closing costs (not including your down payment) commonly run about 2% to 5% of the purchase price. In New York, plan toward the upper end because of state and local taxes and the mortgage recording tax when financing. Your exact number depends on your price point, loan type, and whether you are buying a single‑family home, a condo, or a co‑op.
Two New York items can move the needle fast:
- The state mansion tax is 1.0% of the purchase price on residential sales of $1,000,000 or more. Many Larchmont listings exceed this threshold in the spring, so build it into your plan if you are shopping near or above $1 million.
- The state real estate transfer tax is 0.4% of the sale price. Additional county or local fees may apply and vary.
Ask your lender for a Loan Estimate early. Also ask your attorney or settlement agent for a closing cost worksheet that reflects current Westchester rates and any applicable county fees.
New York and Westchester taxes to know
State transfer tax
New York State sets a real estate transfer tax of $2 per $500 of consideration, which equals 0.4% of the purchase price. It shows up on transactions where a deed is recorded.
Mansion tax at $1,000,000+
For purchases at or above $1,000,000, buyers pay a 1.0% mansion tax at closing. This is a single line item, and it can be one of the largest costs you plan for if your search includes mid to upper‑end Larchmont homes.
Mortgage recording tax
If you are financing, New York charges a mortgage recording tax when the mortgage is recorded. The rate varies by county and loan amount. Your lender will estimate this on your Loan Estimate, and your closing attorney can confirm the exact Westchester rate for your scenario.
County or municipal fees
Westchester County and some municipalities may have recording fees or local transfer taxes. These can affect your cash to close. Confirm current local charges with your closing attorney.
Prepaids and escrows that increase cash to close
Prepaids are not fees for services, but they still increase what you bring to the table.
- Homeowners insurance. You typically pay the first year’s premium at closing. Premiums vary by home type and coverage, often ranging from several hundred dollars to a few thousand per year.
- Property taxes. Westchester property taxes are relatively high compared with the national average. Your lender usually collects 2 to 3 months of taxes in an escrow account. Timing matters. Closing just before a tax due date can create a larger prepayment.
- Escrow cushion. Lenders often require a small cushion in your escrow account for taxes and insurance to keep future payments on track.
Co‑op vs condo vs single‑family
Larchmont and nearby Westchester communities include co‑ops, condos, and single‑family homes. Each has its own closing cost profile.
Co‑ops
- Structure. You buy shares in a corporation and receive a proprietary lease. The transaction is a stock transfer rather than a deeded real estate transfer.
- What to expect. Co‑ops often require higher down payments, board application and processing fees, move‑in fees, and sometimes a move‑in deposit. Some buildings require proof of post‑closing liquid reserves. Title insurance is generally not purchased for co‑ops.
- Financing. Some lenders treat co‑op share loans differently and may ask for more conservative terms.
Condos
- Structure. You receive a deed to the unit and an undivided interest in common areas.
- What to expect. Title insurance for both lender and owner is typical, plus recording fees and a closing fee. Associations may charge an estoppel or document fee. Common charges may be prorated at closing.
- Financing. Down payment options can be more flexible than co‑ops, but lenders may require several months of reserves depending on the building’s financials.
Single‑family homes
- What to expect. Similar to condos for title and recordings, plus potential survey costs and, in some Westchester neighborhoods, municipal or system inspections as needed.
Real Larchmont examples you can use
These examples are illustrative midpoints to help you plan. They exclude any down payment and any seller concessions.
Example A: $600,000 condo or single‑family
- State transfer tax at 0.4%: $2,400
- Lender fees, appraisal, credit, underwriting: about $4,000
- Title and recording: about $3,000
- Attorney fee: about $1,500
- Inspections and survey: about $800
- Escrow deposits for taxes and insurance: about $1,800
Estimated buyer closing cash, excluding down payment: roughly $13,500 to $18,000, which is about 2.25% to 3.0% of the price.
Example B: $1,250,000 condo in Larchmont
- Mansion tax at 1.0%: $12,500
- State transfer tax at 0.4%: $5,000
- Lender and loan charges: about $6,000
- Title, recording, attorney: about $6,500
- Escrows, insurance prepay, inspections: about $3,500
Estimated buyer closing cash, excluding down payment: roughly $33,500 to $36,000, about 2.7% to 2.9% of the price. The mansion tax is a large single item.
Example C: $400,000 co‑op purchase
- Board application and move‑in fees: $500 to $2,000
- Attorney fee: about $1,500
- Lender fees if financing: about $3,500
- Escrow or maintenance reserves if required by building: $5,000 to $20,000 depending on policy
- Transfer tax treatment can differ on share sales. Your attorney will advise.
Estimated buyer closing cash, excluding down payment: highly variable, roughly $6,000 to $30,000 or more depending on building reserve requirements and financing.
Common surprises to avoid
- The 1.0% mansion tax on $1,000,000 or more. One line item can add five figures to your cash to close.
- Mortgage recording tax and county surcharges. These vary and can be significant when financing.
- Lender escrow cushion. Several months of property taxes and insurance are often collected at closing.
- Co‑op board requirements. Some buildings require proof of liquid reserves or prepaid maintenance.
- Timing around tax due dates. Closing just before a due date can increase prepayments.
Quick buyer checklist for Larchmont
Use this list early in your process.
- Request a Loan Estimate from your lender as soon as you have preapproval.
- Ask your attorney how Westchester handles transfer taxes, recordings, and who usually pays what on local deals.
- Obtain the latest property tax bill and confirm how taxes will be prorated at closing.
- For condos and co‑ops, ask for the association estoppel or co‑op board package and confirm any application, move‑in, or reserve requirements.
- Confirm whether the mortgage recording tax applies to your loan and at what rate for Westchester.
- Get title insurance quotes for a condo or single‑family home, including both lender and owner policies.
- Budget for the mansion tax if your target price is $1,000,000 or higher.
- Ask your lender about private mortgage insurance if your down payment is under 20% and whether any upfront options change your cash to close.
Ways to plan or reduce costs
- Compare loan programs and fee structures. Origination points, underwriting fees, and PMI options can shift your upfront versus monthly costs.
- Negotiate seller concessions where appropriate. Some or all buyer costs can be paid by the seller, subject to lender and program limits.
- Time your closing date with taxes in mind. Your attorney can explain how the calendar affects escrows and prepaids.
- Review your preliminary figures with your attorney. This helps you catch any local fees early and avoid last‑minute surprises.
Work with a local guide
A clear budget removes stress and helps you act fast on the right home. If you want a step‑by‑step closing cost plan tailored to your price point and property type in Larchmont, reach out to Grace Mons. You will get patient guidance, local context, and a clean estimate you can trust.
FAQs
What are typical buyer closing costs in Larchmont?
- Buyers often see total closing costs around 2% to 5% of the purchase price. In New York, plan toward the higher end due to state taxes and mortgage recording taxes when financing.
How does the New York mansion tax work for buyers?
- On purchases of $1,000,000 or more, buyers pay a 1.0% mansion tax at closing. Many Larchmont homes cross this threshold, so include it in your budget.
What is the mortgage recording tax in Westchester?
- New York charges a mortgage recording tax when a mortgage is recorded. The rate varies by county and loan size. Ask your lender and attorney for the exact Westchester amount for your loan.
Are co‑op closing costs different from condos?
- Yes. Co‑ops often require higher down payments, board and move‑in fees, and sometimes post‑closing reserves. Condos involve title insurance, deed and mortgage recordings, and association document fees.
Can the seller pay some of my closing costs?
- Yes. Seller concessions can cover certain buyer costs, subject to lender and program limits. Your agent and attorney can help structure this in your offer.
When will I know my final cash to close?
- Your lender issues a Loan Estimate early and a Closing Disclosure at least three business days before closing. Review both with your attorney to confirm the final cash to close figure.
