Land Transfer Tax on Luxury London Ontario Homes, Danforth Real Estate, Georgetown Homes for Sale, Arlington Texas Real Estate, and Mississauga Real Estate
There's a lot about real estate that not too many people know about. There's just so much to know in regards to real estate that people tend to focus on what impacts them the most. Whether they're buying a piece of Aurora, Illinois real estate or selling off some luxury London Ontario homes. If it doesn't concern them then they just try to forget about it. There might be real estate terms thrown around that they might not understand but don't take the time to figure out what they mean. Either because they feel like they'll be too confused or because they can't be bothered. One such example of that is the land transfer tax. Also known as the real estate transfer tax.
If you've heard the term land or real estate transfer tax bandied about when buying or selling Aurora or Danforth real estate and are unsure as to what it means, let us take that worry off your mind. We're going to try and explain to you what the land or real estate transfer tax is. To the best of our abilities, anyway. That way the next time you're out shopping for Aurora or Georgetown homes for sale you'll know exactly what's going on when your real estate agent starts talking about land or real estate transfer tax.
A land or real estate transfer tax, when broken down into simple terms, is a tax that is imposed when there is a transfer of a real estate property from one party to another. Basically, when you buy a piece of Aurora or Arlington Texas real estate you have to pay a land or real estate transfer tax on the transaction. It's another factor you have to consider in your calculations when figuring out how much you can afford to spend on real estate.
The land or real estate transfer tax can be imposed by either the state government, the county government or the local municipality. The land or real estate transfer tax varies from city to city and state to state. For instance, as an Aurora, Illinois home owner, the land or real estate transfer tax rate you'd be paying calculates to about $0.50 for every $500 of the home's value. Which is equal to being taxed 0.10% of your home's property value. Which isn't bad. There are some places where the land or real estate transfer tax is as high as 4%.
Some states even have special exemptions such as in Maryland where all first time home buyers are exempt from paying a percentage of the land or real estate transfer tax. In some cases they don't even have to pay it at all. You should talk to your Aurora or Mississauga real estate real estate agent to get more details and to see what you would have to pay.