Pamela Dostilio

In Connecticut sellers pay a conveyance tax. Transfers of residential property in Connecticut are generally subject to real estate conveyance tax paid by the seller. The current graduated tax rates are 0.75 percent of the purchase price for conveyances of $800,000 or less and 1.25 percent on any portion of the consideration in excess of $800,000. In New York, Home sellers can expect to spend 1.425% of the sale price if your property sells for more than $500,000. For properties valued at $500,000 or less, the transfer tax is 1%. Heads up! You can expect to pay a New York State transfer tax as well, which starts at 0.4%. As far as capital gains tax, it is advisable to speak with your attorney and tax accountant to be properly advised for any and all tax related questions.

That is a very good question. Every state is different regarding real estate transactions. In my state, Connecticut, we use lawyers for closings. I would suggest finding out if your state does closings with attorneys or title companies. If the land is listed with a realtor, the seller has agreed to pay a commission at closing you can have a real estate agent represent you in the transaction. Your realtor can advise you regarding how to purchase with a marketable title and title search (possibly title state) to clearly show if any encumbrances, wet lands, restrictions, etc... Having an attorney look over the contract of sale is always a good idea even if you are in a title state.

I am truly sorry you are going through this. However, the good news is you are agreeable about selling and splitting the profit. Next step is to agree on a Realtor to help you and professionally guide you on listing price and any items you need to do to get top dollar. I would advise putting together a list of "getting house ready to sell" items. Agree on who will do these "to do" tasks or if you are hiring out help and splitting the cost. Deciding on how to agree on listing price, what you are willing to accept for actual sales price, buyer negations and closing date upfront can help ease the stress of the sale. All the best to both of you.