Property tax, transfer tax and closing costs in Maryland

Maryland: State transfer tax of 0.5% of consideration (0.25% for a first-time Maryland homebuyer, paid entirely by the seller), plus county transfer taxes of up to 1.5% in most counties and recordation taxes of roughly $2.50 to $7 per $500, both varying by county. Customarily split equally between buyer and seller. For a first-time Maryland homebuyer the seller pays the whole state transfer tax by statute. Triennial reassessment, one third of each county each year, with increases phased in over three years.

Reviewed October 15, 2026. Every line links its statute or official source.

What Maryland sets

Transfer tax: State transfer tax of 0.5% of consideration (0.25% for a first-time Maryland homebuyer, paid entirely by the seller), plus county transfer taxes of up to 1.5% in most counties and recordation taxes of roughly $2.50 to $7 per $500, both varying by county. Source: dat.maryland.gov
Who customarily pays: Customarily split equally between buyer and seller. For a first-time Maryland homebuyer the seller pays the whole state transfer tax by statute. Source: dat.maryland.gov
Local transfer taxes: Most counties levy a transfer tax of up to 1.5% (Baltimore City 1.5%). Calvert, Carroll, Frederick, Somerset and Wicomico levy none. Every county levies a recordation tax. Source: mgaleg.maryland.gov
Reassessment cycle: Triennial reassessment, one third of each county each year, with increases phased in over three years. Source: dat.maryland.gov
Homestead and other exemptions: Homestead tax credit caps the annual increase in taxable assessment of a principal residence at 10% (lower in many counties). Homeowners’ tax credit is income based. Source: dat.maryland.gov
Owner’s title policy: Buyer customarily pays for the owner’s title policy. Source: insurance.maryland.gov
How closings run: Title company and attorney closings are both common. Source: insurance.maryland.gov
Survey: Not stated. No official source confirmed this yet.
Other closing customs: Not stated. No official source confirmed this yet.

Maryland transfer tax on a $420,000 sale

State transfer tax, buyer halfbuyer pays$1,050$420,000 × 0.5% = $2,100, half of it $1,050
State transfer tax, seller halfseller pays$1,050$420,000 × 0.5% = $2,100, half of it $1,050

buyer pays: $1,050
seller pays: $1,050
Total transfer tax: $2,100

Statutory transfer taxes on a $420,000 sale, as of the reviewed date. Who pays is custom and contract outside the statute’s primary liability. Local taxes described above are not in this figure unless listed as a line. Recording fees, title and attorney charges are separate.

Open the Maryland transfer tax calculator, with a link to share and an embed for your site.

Typical property tax in Maryland

Median real-estate tax paid: $4,093 a year
Per month: $341
Median owner-occupied home value: $419,900
Effective rate they imply: 0.97%

Census American Community Survey five-year file, 2020-2024, tables B25103 and B25077, owner-occupied homes. The median bill rose 19% against the 2015-2019 file. An estimate for a typical home, not yours. Your bill depends on the parcel, its exemptions and the next reassessment.

For agents

Your buyers ask what closing costs in Maryland and who pays. This page answers from the statute, with the date it was checked. Send it, or embed the calculator on your own site.

Ike lets a licensed real estate agent originate the mortgage on the deals they already close. Expected compensation is about 100 basis points per eligible funded loan once licensed and sponsored. Ike is preparing licenses state by state.

See if you qualify

Get the yearly update for your farm area

One email when Maryland rates, exemptions or transfer taxes change, and when the next reassessment lands.

Sources

Ike Mortgage LLC. NMLS ID pending. For licensing information, go to: www.nmlsconsumeraccess.org. Nothing on this page is a loan payment, rate, term or down payment, and nothing here is a Loan Estimate.