Planning to buy or sell in Albrightsville and wondering how Pennsylvania’s transfer tax affects your bottom line? You are not alone. This tax shows up at closing and can be a surprise if you do not plan for it. In this quick guide, you will learn what the tax is, how it is calculated, who typically pays, and how to budget for an Albrightsville transaction. Let’s dive in.
PA transfer tax basics
Pennsylvania charges a realty transfer tax on most transfers of real estate. The tax is collected when the deed is recorded. The statewide baseline rate used in official guidance is 1.0 percent of the sale price.
Local governments can add their own transfer tax shares, so the total combined rate can be higher than 1.0 percent in some places. This tax is separate from recording fees, title services, and any mortgage recording or stamp taxes. The settlement agent or title company usually collects the tax at closing and remits it when the deed is recorded with the county.
How it works in Albrightsville
Albrightsville is an unincorporated area within Carbon County. Properties here can sit in different townships, and those township lines matter for local tax shares. Always confirm the exact municipality for your parcel to determine any local portion of the transfer tax.
At closing, your title company prepares the deed and collects the transfer tax, then records the deed with the Carbon County Recorder of Deeds. Portions of the tax go to the state and to the appropriate local government entities. Your settlement statement will show these amounts as separate line items.
How to estimate your transfer tax
Step 1: Find the applicable rate
- Start with Pennsylvania’s baseline of 1.0 percent of the sale price.
- Confirm whether Carbon County and the specific township add a local share. Your title company or the township office can verify the combined rate for your property.
- Ask if any special district or school district assessment applies. This is less common but worth a quick check.
Step 2: Run the math
Formula: Sale price × Combined transfer tax rate.
Examples for illustration only:
- If the combined rate is 1.00 percent: $300,000 × 1.00 percent = $3,000.
- If the combined rate is 1.50 percent: $300,000 × 1.50 percent = $4,500.
- If the combined rate is 2.00 percent: $300,000 × 2.00 percent = $6,000.
Step 3: Fit it into closing costs
Your transfer tax will appear on the Closing Disclosure or HUD-1 as a separate tax line. The title company typically collects the amount and pays it at recording. Confirm whether funds will be drawn at closing or via a certified check.
Step 4: Check for exemptions
Certain transfers can be exempt from Pennsylvania’s realty transfer tax. Examples include some transfers between spouses, certain intra-family transfers, some transfers related to divorce, and some transfers to revocable trusts. If an exemption applies, the correct affidavit or form must be provided at recording. Your title company can help verify eligibility and prepare the required paperwork.
Who typically pays in Albrightsville
There is no statewide rule that assigns payment to the buyer or seller. Payment is negotiated in the contract and can follow local custom. In many Pennsylvania markets you will see sellers pay all, buyers and sellers split, or buyers pay all in some cases.
In the Poconos, customs can vary by township and even by neighborhood. The best approach is to check recent local closings and confirm with your title company and agent before you finalize contract terms. Put the agreement in writing so everyone knows what to expect.
How it appears on your settlement statement
On your Closing Disclosure or HUD-1, you will usually see separate lines such as:
- Realty Transfer Tax – State
- Realty Transfer Tax – County or Municipal share
The settlement agent will assign the charge to the buyer or seller according to the contract. The line items roll into cash-to-close for buyers and net proceeds for sellers.
Practical tips for smooth closings
- Ask your title company to confirm the combined rate early and show it on a preliminary settlement statement.
- Verify the exact municipality for your property, since local shares can differ by township.
- If you plan to claim an exemption, complete the required affidavit before closing.
- Make the who-pays agreement clear in the offer and purchase contract.
Buyer and seller checklist
For both parties:
- Confirm the property’s township or municipality.
- Get the combined rate in writing from your title company.
- If an exemption applies, prepare and sign the required form before closing.
For sellers:
- Add the likely transfer tax to your net proceeds estimate.
- If you want the buyer to pay or split, state it clearly in the listing disclosures and contract.
For buyers:
- Ask your agent what is customary in the immediate Albrightsville market.
- Request a preliminary settlement statement that shows the transfer tax line.
Where to verify details
- Pennsylvania Department of Revenue for realty transfer tax guidance and exemption forms.
- Carbon County Recorder of Deeds for recording requirements and how the county handles transfer tax at recording.
- Your property’s township office for any municipal transfer tax share or forms.
- Local title or settlement companies and real estate attorneys for exact figures and preparation of documents.
- Local REALTOR offices or the Pennsylvania Association of Realtors for insight on current market customs.
Quick examples to budget fast
Use these illustrations to get a feel for impact at common price points. Your actual combined rate may differ.
- $250,000 sale at 1.00 percent combined: $2,500 transfer tax.
- $250,000 sale at 1.50 percent combined: $3,750 transfer tax.
- $400,000 sale at 1.00 percent combined: $4,000 transfer tax.
- $400,000 sale at 1.50 percent combined: $6,000 transfer tax.
The bottom line for Albrightsville
Pennsylvania’s realty transfer tax is straightforward once you know the combined rate for your specific Albrightsville property. Confirm the municipality, verify the rate with your title company, and decide early who will pay. With those details set, your closing will be cleaner and your budget will be accurate.
If you want local guidance and a clear estimate based on current Albrightsville norms, connect with John Keely. Let’s make your sale or purchase smooth from contract to recording.
FAQs
What is the Pennsylvania realty transfer tax for homes in Albrightsville?
- It is a tax on most real estate transfers, collected when the deed is recorded, with a statewide baseline of 1.0 percent plus any local shares.
Who typically pays the transfer tax in an Albrightsville closing?
- There is no fixed rule. Payment is negotiated and may follow local custom, with sellers paying, buyers and sellers splitting, or buyers paying in some cases.
How do I calculate PA transfer tax on a $300,000 Albrightsville sale?
- Multiply the sale price by the combined rate. For example, 1.00 percent equals $3,000, 1.50 percent equals $4,500, and 2.00 percent equals $6,000.
Are family or divorce-related transfers in Pennsylvania exempt from transfer tax?
- Some transfers between spouses, certain intra-family transfers, and some divorce-related transfers may qualify, but you must provide the correct exemption affidavit at recording.
How does transfer tax appear on my Closing Disclosure or HUD-1 in PA?
- It shows as separate line items, often “Realty Transfer Tax – State” and “Realty Transfer Tax – County or Municipal share,” allocated per your contract.
How do I confirm my Albrightsville property’s township for local tax shares?
- Check your tax parcel records or contact the township office where the property sits, then have your title company confirm the combined rate for that municipality.
