Transfer taxes and recording fees are one-time charges due at closing when ownership changes. Rates, exemptions and who pays are set locally and can be split between buyer and seller. Your title company will list them on the closing disclosure.
What are they?
Governments charge a percentage of the sale price, or a set amount, to record a deed and transfer title. Some areas have both a state and a local component.
Who pays?
Local custom and your contract decide. Buyers sometimes pay a share, sellers sometimes pay a share and some areas have exemptions for first-time buyers or certain transactions.
How to estimate
Ask your agent or title company for an estimate for your price. Add it to your closing costs. See the closing timeline.
Negotiating
If you want a seller to cover a share, discuss it at the offer stage. Compare with annual property taxes when budgeting.
Frequently asked questions
Are rates the same everywhere?
No. They vary widely by locality.
Can they be financed?
Some can be included in closing costs; ask your lender.
Sources
- Your local assessor, recorder or municipal office (confirm current rules)
- A licensed attorney, tax professional or lender for your situation
- The local MLS and your Northfield Realty agent for current market conditions
Talk with a Northfield agent
Whether you are buying, selling or just exploring, we are happy to answer questions. No pressure, just good advice.
This article is general information, not legal, tax or financial advice. Programs, rates and regulations change; please confirm details with a licensed professional. Northfield Realty is committed to the Fair Housing Act and equal opportunity in housing. Back to all articles.