Are you a Solano County homeowner looking to sell your home? Maybe you’re thinking about buying your first home. In either case, you might be unaware of how transfer taxes work. These are fees charged when real property (like a home) changes hands, varying across state, city, and county lines. There is a Solano County transfer tax, and it’s a good idea for any prospective seller or shopper to get an idea of how it works, as transfer taxes are an essential part of your closing costs. This quick guide will cover the Solano County transfer tax, giving you insight into what it is, how much you can expect to owe, and whether you can qualify for any exemptions. Transfer taxes, as defined by the Federal Trade Commission, are a “ Essentially, when you pass the title of your home — your legal right to own the property — to someone else, the government charges a tax on this exchange. Where your property is located will determine what you’ll owe in transfer taxes according to local state, county, or city guidelines. Like other taxes, these are designed to generate revenue. Different cities and states have different guidelines concerning the liability of transfer taxes, and Solano County is no different. In Solano County, the seller pays for transfer taxes. This is usually the case with most municipalities in California. Transfer taxes will typically vary based on local guidelines but can generally be broken down into three categories — state, city, and county, depending on the state. Here’s a quick look at how it works in Solano County: California levies transfer taxes at $0.55 per $500 of the property’s sales price. This tax is levied statewide and applies to any property transaction in the Golden State, unless the transaction qualifies for exemptions. If you are selling a home in Vallejo, a city in Solano County, you must pay an additional transfer tax of $1.65 for every $500 of the property’s purchase price. Solano County’s transfer tax is levied at the same rate as the statewide transfer tax — $0.55 per $500. This is the case for most counties in California, but there are some exceptions, like Los Angeles County.What are transfer taxes?
Who pays for transfer taxes?
What are the types of transfer taxes?
State transfer taxes
City transfer taxes
County transfer taxes
