Attention, Anne Arundel County homeowners! Hello Home, your trusted real estate agency, wants to keep you updated on the latest developments. Effective July 1st, 2023, Anne Arundel County will be implementing an increase in the transfer tax rate for properties valued at $1 million or above. This blog post aims to provide you with essential information about the new transfer tax, ensuring you are well-informed about its implications.
Date of Implementation:
- Mark your calendars! The new transfer tax rate will officially come into effect on July 1st, 2023. From this date forward, any real estate transaction involving properties with a value exceeding $1 million will be subject to the increased transfer tax rate of 1.5%.
Expanded Tax Coverage:
- Under the revised regulations, the increased transfer tax will be applicable to the entire sale amount, rather than just the portion exceeding $1 million. This means that if you're buying or selling a property valued above the threshold, the 1.5% transfer tax will be calculated based on the full sale price. It is important to consider this adjustment when planning your budget for real estate transactions.
- It's crucial to be aware that the new transfer tax increase will have a retroactive effect. Starting from June 30th, 2023, any transaction presented for recordation after this date will be subject to the higher transfer tax rate. Therefore, even if the agreement was made before July 1st, 2023, if the recordation occurs after this date, the 1.5% transfer tax will be applicable. Ensure that you consult with your real estate agent and stay updated on the timeline of your transaction to avoid any surprises.
As of July 1st, 2023, Anne Arundel County homeowners must be prepared for the increased transfer tax on properties valued at $1 million or more. Understanding the implementation date, expanded tax coverage, and the retroactive effect of this change is crucial for a smooth real estate transaction. Hello Home is committed to providing you with up-to-date information to ensure you make informed decisions when buying or selling your property in Anne Arundel County.