Massachusetts Real Estate Tax Stamps

 

Massachusetts Real Estate Tax Stamps

July 19, 2017

While selling your home in Massachusetts can be a great experience, it can also bring in some major costs. Obviously, the largest cost you have to deal with is the fee you pay to the real estate broker. This is mandatory if you use a broker to purchase your home. But aside from that, you will also have to pay the Massachusetts real estate tax stamps.

What are the Massachusetts real estate tax stamps?

Simply put, the Massachusetts real estate tax stamps are a method used by the Commonwealth of Massachusetts to generate revenue from real estate sales. If you purchase a home within the state limits, you are obliged to pay the Massachusetts real estate tax stamps.

But a lot of people don’t know this, and things can be rather confusing for them. What are these Massachusetts real estate tax stamps? Whenever you sell a home within the state of Massachusetts, you are obliged to pay $4.56 per $1000.

As a result, if you have a sales price of $400000-$500000, you may have to pay up to $1400-$1500 in Massachusetts real estate tax stamps. There are a few counties in the state of Massachusetts that charge more, for example, Barnstable County charges $6.12 per $1000. Nantucket, on the other hand, also adds a land bank fee of 2%. That being said, the regular Massachusetts real estate tax stamps fee is $4.56 in most of the region.

Of course, it will be a very good idea to talk with the local authorities, just in case, there are some additional fees. But if you do want to sell your home in Massachusetts, you are obliged to pay the Massachusetts real estate tax stamps.

You will see that Massachusetts real estate tax stamps charge right on the HUD-1 settlement statement. In fact, it’s outlined on the line 1203, right at the closing. Usually, the statement will be ready at least a day or two before the closing. You will be able to review it ahead of time, so you can easily prepare your money for the Massachusetts real estate tax stamps payment.

Is this mandatory and what does it mean for you?

Yes, paying the Massachusetts real estate tax stamps is a mandatory thing. So, this means you must factor in this expense as well when you calculate the total costs. Of course, it may not be a massive cost when compared to the broker tax, but it is a mandatory expense.

If you want to learn more about the Massachusetts real estate tax stamps, all you have to do is to visit the video above. It outlines the importance of the Massachusetts real estate tax stamps. At the same time, you will get to know the Massachusetts real estate tax stamp value in the state and a wide range of other helpful ideas. So, check the video now and share it with other people that may need access to this helpful content!