Buying with us
Buying a house here, step by step
New York does a few things differently: attorneys write the contract, an accepted offer isn't binding until both sides sign, and since 2024 you'll sign a buyer agreement before we tour. Here is the whole process, with the money in plain sight.
How we work with buyers
Most of the people we help are buying in one of about a dozen towns between Cold Spring and Hudson, on both sides of the river. Some have lived in the valley all their lives and want a bigger yard or a smaller house. Many are coming up from the city. A few are buying land with no house on it at all. What they have in common is that they want somebody who will read the house closely, tell them what it will really cost to own, and not rush them.
Nadia Finch started this brokerage after twenty years as an architect, and that habit has stuck with all of us. On a showing we will open the electrical panel, look at the oil tank, find the septic lid, and check how far the house is from the train on a weekday morning, not just a Saturday. We would rather you pass on the wrong house than buy it because the kitchen was pretty.
We're an independent office with fourteen agents in Beacon and Kingston. You'll work with one agent from the first call to the closing table, and that agent will have a colleague who knows the other side of the river if your search wanders.
The process, in order
- 1. A first conversation
Usually a phone call or coffee at one of our offices. We talk about towns, budget, commute, what you can't live without and what you could fix later. At this first real conversation we'll hand you New York's agency disclosure form. It explains who an agent can represent; it is not a contract and signing it only says you received it.
- 2. Pre-approval
We don't require a pre-approval to tour, but before we submit an offer we ask for a lender's pre-approval letter or, for cash buyers, proof of funds, so it pays to get one early. This is the same for every buyer we work with (it's in our Standard Operating Procedures). A pre-approval is stronger than a pre-qualification: the lender has actually looked at your income, assets and credit. We can give you the names of several local lenders and mortgage brokers our clients have used; you choose.
- 3. The buyer agreement
A short written agreement between you and us, signed before the first showing. It's explained in full just below, because it's new to a lot of people.
- 4. Touring
We set up showings for our listings and every other brokerage's. We'll send you new listings as they come up, and for most houses we can tell you something the listing doesn't: when the roof was done, why the last sale fell through, whether the road floods in March.
- 5. The offer
When you find the house, we pull recent sales, talk through price and terms, and write the offer. In New York an offer is usually a short letter or form: price, down payment, mortgage amount, proposed closing date, contingencies, and your attorney's name. The seller can accept, counter or decline.
- 6. Accepted offer and attorney review
An accepted offer is good news, but it isn't binding. The seller's attorney drafts the contract of sale, your attorney reviews and negotiates it, and only when both sides sign is the deal made. This usually takes one to three weeks. The inspection normally happens during this window, before you sign.
- 7. Inspection and testing
A general home inspection, plus whatever the house calls for: radon, a well flow and water-quality test, a septic dye or hydraulic load test, a sewer camera, an oil tank sweep, termites. Findings go to your attorney, who can ask for repairs or a credit before the contract is signed.
- 8. Contract signed, deposit in escrow
When you sign, you pay the contract deposit, commonly 10% of the price (sometimes 5% on a smaller loan). It's held in escrow by the seller's attorney, not handed to the seller, and it counts toward your down payment.
- 9. Appraisal, title and the mortgage commitment
Your lender orders an appraisal and underwrites the loan; your attorney orders a title search and title insurance. The contract will have a date by which you need a mortgage commitment, typically 30 to 45 days after signing.
- 10. Final walk-through and closing
Closing is usually 60 to 90 days after the accepted offer. You do a final walk-through, then sit down with the attorneys (and a bank attorney and title closer) and sign a large pile of paper. Then you get the keys. We'll be there too.
The buyer agreement, in plain English
Since August 17, 2024, any agent working with a buyer anywhere in the country has to have a written agreement with that buyer before touring a home, in person or on a live video tour. It came out of a national legal settlement about how agents are paid. Nothing about it is meant to trap you, and here's what ours says.
- What we're paid. A specific amount: a percentage of the price or a flat fee, written as a number. Not "whatever the seller offers".
- That it's negotiable. Commissions are not set by law, and the agreement says so in writing. We'll talk about it openly.
- That we can't be paid more. We can't receive more than the amount in the agreement from anyone, including the seller.
- How long it lasts and where. Ours usually covers a set number of months and the towns you're searching. You can also sign a one-day touring agreement for a single property if you're not ready to commit.
- How to end it. In writing, with a short notice period. We'd rather part ways than work with someone who isn't happy.
Who actually pays? Often, still, the seller: many sellers offer to cover the buyer's agent, or you can ask for it as part of your offer. What changed is that offers of buyer-agent compensation no longer appear on the regional listing service, and the arrangement between you and your agent is now written down before the first showing. If a seller isn't covering the fee, it comes out of your pocket at closing, or we negotiate it into the deal, and you'll know that in advance.
You'll find a longer explanation, with an example, in our post What a buyer agreement means.
What it costs to buy, beyond the price
Buyers in New York usually budget 2% to 5% of the price for closing costs, and more for a house over $1 million. These are the main pieces. Your lender's loan estimate and your attorney will give you the exact figures.
| Cost | Who pays | Roughly |
|---|---|---|
| Your real estate attorney | Buyer | A flat fee, commonly $1,500–$3,000 in our area |
| Home inspection and tests | Buyer | $500–$1,500, more with well, septic and radon |
| Appraisal and lender fees | Buyer (if financing) | Varies by lender; see your loan estimate |
| Title insurance (owner's and lender's) | Buyer | Set by state-regulated rates; scales with price |
| Mortgage recording tax | Buyer (if financing) | About 1% to 1.05% of the loan, depending on county |
| "Mansion tax" | Buyer | 1% of the full price, on homes of $1,000,000 or more |
| Prepaid taxes, insurance and escrow | Buyer | Several months of each, adjusted at closing |
| New York State transfer tax | Seller (usually) | 0.4% of the price |
| Buyer's agent compensation | Per your buyer agreement | The amount written in it; often covered by the seller |
The mansion tax
It isn't only for mansions. New York charges a 1% tax on the purchase of a residence for $1,000,000 or more, and the buyer pays it at closing, on the whole price, not just the part over a million. On 4 Tannery Bell Court in Cold Spring, listed at $1,085,000, that's $10,850. A house that sells for $999,000 owes nothing. You'll sometimes see offers land just under the line for that reason, and sellers know it too.
The transfer tax
New York State's real estate transfer tax is $2 for every $500 of the price, or 0.4%. By custom, and in most contracts, the seller pays it. On Beacon's median sale of $689,000, that's $2,756. The mansion tax is technically a separate, additional transfer tax, which is why people get the two confused.
Property taxes
Taxes here are high by national standards and they are a big part of the monthly payment. Every listing should show the annual figure and the school district; ask us for the tax bill itself, not just the number. Owners who live in the house may qualify for the state's school tax relief credit, which your attorney can help you apply for after closing. Try the mortgage calculator with real tax numbers before you fall in love.
The seller's property disclosure
New York sellers fill out a Property Condition Disclosure Statement: a long form of yes, no and unknown answers about the roof, water, septic, flooding, oil tanks, past insurance claims and more. Until 2024, a seller could skip it and give the buyer a $500 credit at closing instead, and most did. Since March 2024 that option is gone, so you should receive the form before you sign a contract.
Read it, and read the "unknown" answers twice. It is the seller's honest knowledge, not an inspection or a warranty, and an estate selling a parent's house may genuinely know very little. For any house built before 1978 you'll also get a lead-based paint disclosure and a chance to test for it.
Questions buyers ask us
Do I really need an attorney?
In practice, yes. In this part of New York, attorneys draft and negotiate the contract and attend the closing on both sides. We don't give legal advice; we'll give you names of several local attorneys who do residential closings.
Can I back out after my offer is accepted?
Until the contract is signed by both sides, either party can walk away. That's why we keep things moving. After signing, your way out is whatever contingencies the contract contains, usually the mortgage commitment.
Should I waive the inspection to compete?
We won't tell you that you can't, but we'll strongly advise against it on an older house. A pre-offer walk-through with your inspector is a better way to move fast.
What about houses listed by other brokers?
We show them all. About two thirds of the homes our buyers purchase are listed by someone else.
Are you the right office if I'm buying my first house?
We think so. Start with our first-time buyer guide, and if you're coming from the city, read Moving up from New York City.
Start with a conversation
Tell us a little about what you're looking for. A real person in Beacon or Kingston will reply within one business day.