The answer is of course that your agent and your attorney have to push back to the seller that this is not a cost of closing that you are prepared to accept . . . both your attorney and your agent should have gone over the costs of closing with you, and told what charges you should expect. If a flip tax was not included in that list, either your side has been remiss or the seller is trying to "sneak" it in.
I can't see your contract so I don't know what it says, but it sounds like it is time to bring everybody back to the negotiating table to work this out.
the co-op board doesn't give a hoot who pays the flip tax, as long as they get paid.
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I am sure the NY Trulia voices will chime in with better information, but I found this article that you might find helpful.
There was also this previous post on Trulia:
Hope these help until one of the local professional chime in.
Flip taxesâ€ are common in coops. Imposed by the coop, the flip tax is used to build up the capital reserve fund and/or pay for improvements to a building. The tax is usually one to two percent of the purchase price (although other formulas exist) and is payable by the buyer or seller, depending upon the coopâ€™s rules. While the number of cooperative conversions has dropped, many long established co-ops still impose these fees on the sale of apartments. Some condominium buildings also charge this type of fee.
Your broker should have informed you about this. Talk to your broker and see if he/she can get the seller to pay the flip tax. If I can be of any help please feel free to contact me.
Member of the Real Estate Board of New York (REBNY)
Most, not all, flip taxes are paid by the seller. Some properties don't have one. The agent or seller representing the property should have disclosed the flip tax.
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