Pennsylvania Real Estate Transfer
Tax Calculator

Pennsylvania's combined realty transfer tax is typically 2% (1% state + 1% local municipality). However, Philadelphia stands out with a combined rate of 4.278% (1% state + 3.278% city).

Pittsburgh's combined rate is 3% (1% state + 1% city + 1% school district). Buyer and seller conventionally split the tax.

On a $350,000 home outside Philadelphia and Pittsburgh, total transfer taxes are $7,000 split between parties. In Philadelphia, a $700,000 property would incur approximately $29,946 in transfer taxes.

The rate in Pennsylvania is **1% state realty transfer tax**. Payment responsibility: Split between buyer and seller (0.5% each by default; negotiable).

Additional local charges apply: Municipalities add their own realty transfer tax (typically 1%). Philadelphia: 3.278% city tax for a combined total of 4.278%.

Pittsburgh: 1% city + 1% school district + 1% state = 3%. Most other PA municipalities: 1% local + 1% state = 2% total.

The governing statute is 72 P.S. § 8101-C et seq..

Transfer taxes are calculated on the "consideration" — the actual sale price paid for the property. Most states exempt certain transfers from this tax, including: gifts (transfers for no or nominal consideration), spousal transfers, and government-to-government transfers.

Verify exemptions before assuming a particular transaction qualifies — the exemption application process typically requires filing specific forms at closing.

To calculate the Pennsylvania transfer tax: take the sale price, apply the rate of **1% state realty transfer tax**, and add any applicable local surcharges (Municipalities add their own realty transfer tax (typically 1%). Philadelphia: 3.278% city tax for a combined total of 4.278%.

Pittsburgh: 1% city + 1% school district + 1% state = 3%. Most other PA municipalities: 1% local + 1% state = 2% total).

The tax is based on the gross consideration — not the net equity or the loan amount. If a property sells for $450,000, apply the rate to the full $450,000 regardless of whether the seller has an existing mortgage.

Example calculation in Pennsylvania: On a $400,000 sale at 1% state realty transfer tax: multiply $400,000 by the applicable percentage rate. Verify the exact rate with your title company or closing attorney.

Who pays is often negotiable between buyer and seller, even in states with a legal default payer. In competitive markets, sellers may agree to pay the buyer's share (or vice versa) as part of closing cost concessions.

The amount actually paid by each party should be reflected in the purchase contract. The title company or real estate attorney will collect the correct amount at closing and remit it to the appropriate government authority.

Pennsylvania exempts certain transfers from the transfer tax: Transfers between spouses, parent/child transfers for nominal consideration, transfers to nonprofits, first-time homebuyers may qualify for exemptions in some municipalities. To claim an exemption, the deed or conveyance document must typically include a statement of exemption, and in some states a separate exemption affidavit must be filed with the recording.

Not claiming the exemption at the time of recording can make it difficult to obtain a refund later — work with a real estate attorney if your transaction may qualify.

• Nationally, common exemptions across states include: (1) transfers between spouses on divorce or death
• (2) transfers to a revocable living trust where the grantor is the beneficiary
• (3) deeds in lieu of foreclosure or foreclosure sales
• (4) transfers to nonprofit organizations
• (5) government-to-government conveyances
• and (6) certain court-ordered transfers. Even in states with generous exemptions, verify that your specific transaction meets the statutory criteria — exemptions are narrowly construed by most state revenue departments.

First-time homebuyer programs in some states include a transfer tax credit or reduced rate. Pennsylvania offers some first-time homebuyer benefit — review the specific conditions carefully and confirm with your closing agent.

In Pennsylvania, the transfer tax is conventionally paid by **Split between buyer and seller (0.5% each by default; negotiable)**. This convention is established by state law or by local custom, but the contract between buyer and seller can override it.

In hot markets, sellers sometimes offer to cover the buyer's share of transfer taxes as a concession. In buyer's markets, buyers may negotiate the reverse.

Understanding who pays matters for budgeting and offer negotiation. A seller's net proceeds calculation must deduct the transfer tax.

A buyer's cash-to-close estimate must include any buyer-paid transfer taxes plus all other closing costs. Real estate agents and title companies typically present the expected transfer tax allocation in the closing disclosure before closing day.

If you are using a real estate attorney for closing (required in some states, optional in others), they will prepare the transfer tax forms and ensure proper remittance. If you are using a title company, they handle the same functions.

Either way, you should receive a final closing disclosure at least 3 business days before closing that itemizes all transfer taxes and who is paying what amount.

For related real estate closing costs in Pennsylvania: the Title Insurance Calculator covers owner's and lender's title insurance premiums by state. The Property Tax Calculator estimates annual property taxes after purchase.

The Pennsylvania Homestead Exemption Calculator shows potential property tax savings for primary residence owners. To find a Pennsylvania real estate attorney for closing, search our attorney directory.