How to Use the Hauseit® NYC Home Sale Net Proceeds Calculator [Tutorial]

NYC Home Sale Net Proceeds Calculator: https://www.hauseit.com/nyc-home-sale-net-proceeds-calculator/

In this Hauseit tutorial we will show you how to use the Hauseit® NYC Home Sale Net Proceeds Calculator The purpose of the calculator is to determine as a seller how much your closing cost will be and furthermore what your net proceeds would be on a sale.

1% Full Service in NYC: https://www.hauseit.com/agent-managed-listing/
Save 6% When Selling in NYC: https://www.hauseit.com/agent-assisted-fsbo/

Now, in order to use the calculator, assuming you have a mortgage, we need to know the amount of your loan payoff. You can find this information on your most recent mortgage statement or you can log in to online banking and it should be there or you can give your lender a call. Assuming you have that information, the next step is to navigate to the calculator site which is visible here on the top left.

NYC Home Sale Net Proceeds Calculator: https://www.hauseit.com/nyc-home-sale-net-proceeds-calculator/

Now once you're on the page, if you go to the left hand side, you will see a number of inputs which you can fill out depending on your scenario. So in the example of say selling a $2 million co-op, you would input the sales price of $2 million. You would select the housing type as co-op and in the event you have a mortgage you can toggle it on here and type in the loan payoff amount. So let's just say hypothetically you owe $850k. You would put that here as the loan payoff amount and then for New York City broker commission, hopefully you're paying less than 6%.

If you're using the Hauseit Agent Assisted FSBO Platform and you find a direct buyer, you may very well be paying zero percent but we can come back to that in a little bit. Now if you've selected co-op there will be an automatic flip tax that is turned on and it is currently set to 1.5% which is a fairly typical considerate an average number for a co-op flip tax here in the city. Of course you can customize it so to come up with the most accurate figure we would suggest that you contact your managing agent or check in your house rules, bylaws or purchase application to figure out the exact amount of your flip tax.

So we filled in all of the preliminary fields at this point and so if you look on the right-hand side it is going to tell us essentially how we stand when it comes to our net sale proceeds. So the total seller closing costs are a whopping $193k. Total closing costs of 9.6%, although the majority of this comes in the form of the broker commission.

So it goes without saying it's very important to figure out a way to minimize if not fully eliminate the commission amount. If you are selling through the Hauseit® Agent Assisted FSBO platform, the buyer comes without a broker, the broker commission would be 0% and you can see how this takes your seller closing costs down from approximately $200k to $72k. So that's certainly more than the median income for a New Yorker.

It's a huge amount of money that you can save by being a bit creative on the broker commission side of the equation. Now in this example, we'd have our closing costs of $73k. You have your loan payoff amount so your net sale proceeds is another way of thinking about how much you would essentially have left after you've left the closing table.

So on a sale of $2 million you are going to come out with a little bit under $1.1 million. Now, let's go back to the broker commission and if we put back that six percent you can see that your proceeds have gone down from nearly $1.1 million to well below $1 million around $950k. So again, it's a very important component of seller closing costs the bulk of them are actually comprised of just the commission figure the other large seller closing costs are primarily going to be the transfer taxes in New York City.

These are the two entries right here. You have New York City and New York State Transfer Taxes. They both take a cut if you're on the calculator page and you want to learn more about any of these items click on the link here. It'll open up a page which will give you a full breakdown of those specific closing costs and again for flip tax this is building dependent. So you really should do research figure out what your buildings flip tax will be and you can update it here in the calculator.

If you do want to share this result, you can email the results so if you click email type in your email and hit send it will send you this output and you can also print a PDF. So if you click on this button, it will open a PDF that you can save down and possibly email to family member or to a friend.

1% Full Service in NYC: https://www.hauseit.com/agent-managed-listing/
Save 6% When Selling in NYC: https://www.hauseit.com/agent-assisted-fsbo/

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