When refinancing in NY who pays the mortgage tax?

When refinancing in NY the borrower MUST pay the mortgage tax on the new loan amount, regardless of whether they are taking money out or not. The only way to avoid the mortgage tax is to apply for a CEMA with your currnet lein holder. this CEMA is basically an assignment of the mortgage tax paid on your current mortgage. Your current lein holder is under no obligation to grant the CEMA and the are fees associated with the CEMA. In addition, the CEMA can take 6 to 8 weeks to get.You would have to weigh the cost and time of the CEMA against the cost of the mortgage tax. Obviously, if your loan amount is large the CEMA would be the way to go. If loan amount is relatively small, you may just be better off paying the mortgage tax. If you weant to discuss this further please geive a call. Joe Shamie 877-662-3321 x-102.