My bank is making an exception and doing a closed end credit home equity installment loan on a NY property. We will be in a second lien position. I believe we have to pay the mortgage recording tax in NY. Is there an exemption on the tax for a second lien loan? If we do have to pay the tax, I am being asked where on the TRID Loan Estimate do you disclose this. I told them section E. Does anyone disagree with this? Thank you.

I see nothing that excludes second liens:

https://www.tax.ny.gov/pit/mortgage/mtgidx.htm

Since these are based on the amount of the mortgage, they are transfer taxes. Line 2 - Section E - 0% tolerance.

Make sure there are not local taxes too.

P.S. - if you are not a lender that normally lends in New York - get yourself a really good NY real estate attorney - it is the most complex State in which to lend.

As Kathleen Blanchard used to say, if you are not a NY Bank you have no business lending there.

Thank you, Randy. We do have a NY attorney we use for residential first mortgage loans. I told lending to reach out to him but they weren't sure how quickly he would respond.