Paying transfer rates & recordation taxes

Residential purchase transactions: Read on for a break down of taxes associated with the purchase of a residential property in the District of Columbia, Maryland or Virginia.

District of Columbia

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Recordation Tax (also known as Transfer Tax) - Calculated using the purchase price.

 * Transactions $399,999 and under are taxed at the rate of 1.1% of the purchase price. Example: $300,000 x 1.1% = $3,300. So the buyer and seller would each pay $3,300 for a total of $6,600 paid to DC.
 * Transactions $400,000 and above are taxed at the rate of 1.45% of the purchase price. Example: $500,000 x 1.45% = $7,250. So the buyer and seller would each pay $7,250 for a total of $14,500 paid to DC.

Read More: DC Tax Abatement Program

Recording Fees (recording of Deeds, Deeds of Trust, and other instruments of record)

 * $26.50 for the first two pages and $7 for each page thereafter. This generally results in a total recording cost of approximately $290 for purchase transactions.

Property Taxes - Paid semi-annually, the two tax periods are:

 * Taxes due on 3/31 for the period of 10/1 - 3/31.
 * Taxes due on 9/30 for the period of 4/1 - 9/30.

 

Maryland

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Recordation (also known as Transfer Taxes)

 * State Transfer Tax is 0.25% to purchasers for all counties.
 * State Recordation Tax (see chart below).
 * County Transfer Tax (see chart below).

NOTE: If the borrower is a first-time Maryland Homebuyer who will occupy the property as principal residence, then the borrower is exempt from state transfer tax. However, all purchasers must be first-time homebuyers in Maryland to qualify.

Recording Fees (recording of Deeds, Deeds of Trust, and other instruments of record)

 * $40 for each Deed or Deed of Trust.
 * $30 per release.

This generally results in a total recording charge of approximately $80 for purchase transactions.

County		Recordation Tax1		County Transfer Tax2		Property Tax Rate3		Code
Allegheny		$3.25		0.25%		$1.132		1
Anne Arundel		$3.50		0.50%		$1.087		--
Baltimore County^		$2.50		0.75%		$1.247		2
Baltimore City^		$5.00		0.75%		$2.460		8
Calvert		$5.00		None		$1.024		--
Caroline		$5.00		0.25%		$1.084		3
Carroll		$5.00		None		$1.180		8
Cecil		$4.10		None		$1.112		4
Charles		$5.00		None		$1.148		--
Dorchester		$5.00		0.375%		$1.062		--
Frederick		$6.00		None		$1.132		--
Garrett		$3.50		0.50%		$1.168		5
Harford		$3.30		0.50%		$1.224		1-8
Howard		$2.50		0.50%		$1.176		8
Kent		$3.30		0.25%		$1.144		--
Montgomery PP < $500k		$3.45		0.50%		$0.883		5
Montgomery PP > $500k		$5.00		0.50%		$0.883		5
Prince George's		$2.50		0.70%		$1.092		--
Queen Ann's		$4.95		0.25%		$1.108		6
St. Mary's		$4.00		0.50%		$1.040		1
Somerset		$3.30		None		$1.142		--
Talbot		$3.30		0.50%		$0.685		5
Washington		$3.80		0.25%		$1.080		--
Wicomico		$3.50		None		$1.173		5
Worchester		$3.30		0.25%		$0.862		5

NOTE: The above Transfer & Recordation Taxes are based on customary splits (apportionment) between buyer and seller, the split is typically 50-50. In some cases, the parties may reallocate the responsibility to pay Transfer & Recordation Taxes.

We advise that you carefully review the sales contract prior to calculating the transfer & recordation taxes. If you have any questions, please contact us at This e-mail address is being protected from spambots, you need JavaScript enabled to view it .

1		Per $1,000 of purchase price (based on loan amount for refinancing transactions)
2		Percent of purchase price
3		Per $100 of value (includes state real property tax of ...084/$100).

^ We do not offer services in these locations.

NOTE: Tax rate may vary in cities of other incorporated areas.

   1. The first $30,000 is exempt for owner occupied principal residence.
   2. The first $22,000 is exempt for owner occupied principal residence.
   3. The first $25,000 is exempt for owner occupied principal residence OR the first $75,000 is exempt for owner occupied principal residence AND first-time Maryland Homebuyers.
   4. Surcharge of $10 per Deed/Deed of Trust.
   5. The first $50,000 is exempt from Recordation Tax for owner-occupied principal residence.

Example: A primary residence with the first $50k exempt from tax and a purchase price of $700k, will be taxed as follows:

450 x $3.45 = $1,552.50 + 200 x $5.00 = $1,000.00           Total = $2,252.50

   6. Exempt for first time Maryland Homebuyer.
   7. Washington County has a 2% Agriculture Tax, if applicable.
   8. These counties require a lien certificate, fee ranging $25 - $55.

Property Taxes
Principal residences are paid semi-annually, non-principal residences and investment properties are paid annually.

For principal residences:
 * Taxes due on 9/30 for the period of 7/1 - 12/31.
 * Taxes due on 12/31 for the period of 1/1 - 6/30.

For non-principal residences and investment properties:
 * Taxes du on 9/30 for the period 7/1 - 6/30.

 

Virginia

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Recordation Tax (also known as Transfer Tax) 

 * Deed Tax = $3.33 per $1000 of Purchase Price.
 * Trust Tax = $3.33 per $1000 of loan amount.

Recording Fees (recording of Deeds, Deeds of Trust, and other instruments of record)

 * $33.00 to record a deed and $66.00 to record a mortgage, regardless of the number of pages in the documents. This generally results in a total recording charge of approximately $99 purchases.

Property Taxes
Taxes are paid semi-annually, due dates vary by county. A few counties are outlined below:

 * Fairfax County
          o First Half due 7/28
          o Second Half due 12/5
          o 703-222-8234
 * Arlington
       o First Half due 6/5
       o Second Half due 10/5
       o 703-228-3090
 * City of Alexandria
       o First Half due 6/15
       o Second Half due 11/15
       o 703-838-4777
 * Prince William
       o First Half due 7/28
       o Second Half due 12/5
       o 703-792-6710

Updated on 9/23/2009 | This information is deemed reliable, but not guaranteed.