Real Estate Laws in New York.

All New York mortgage foreclosures are judicial. Requires filing of summons and complaint, service, mandatory settlement conference (for residential owner-occupied), judgment of foreclosure, and referee's sale.

Residential foreclosures (owner-occupied 1-4 family) require mandatory settlement conference within 60 days of answer. Lender must negotiate in good faith. Failure may result in loss of interest, costs, and attorney fees.

HETPA protects homeowners in default from predatory "equity theft" foreclosure rescue schemes. Extensive disclosure requirements and 5-day rescission period for contracts with equity-purchase investors.

Requires sellers of residential 1-4 family property to complete a Property Condition Disclosure Statement. Failure to deliver results in $500 credit to buyer at closing (commonly paid rather than disclosed in practice).

State transfer tax of 0.4% of consideration (paid by seller) on real property transfers. New York City imposes additional NYC Real Property Transfer Tax (1-2.625%).

State Mansion Tax: 1% on residential sales over $1 million (paid by buyer). NYC imposes additional progressive mansion tax up to 3.9% on sales over $25 million.

Homestead protects up to $179,975 of equity in NYC, Nassau, Suffolk, Rockland, Westchester, and Putnam counties; $149,975 in Dutchess, Albany, Columbia, Orange, Saratoga, and Ulster; and $89,975 elsewhere (2024 amounts, indexed).

New York is a race-notice state: a subsequent bona fide purchaser for value without notice who records first prevails.