Closing on a home in Franklin Park? Transfer taxes can surprise even experienced buyers and sellers. You want a smooth closing, clear numbers, and no last‑minute cash shortfalls. This quick guide explains how Pennsylvania’s realty transfer tax works, what to expect locally in Allegheny County, who typically pays, where it shows on your settlement statement, and how to budget. Let’s dive in.
PA transfer tax basics
Pennsylvania charges a realty transfer tax when real property changes hands. The tax is calculated as a percentage of the consideration, usually the contract sale price shown on the deed. The state portion is 1.00% of the sale price. Counties and municipalities may add their own transfer taxes, so your total is the sum of the state portion plus any applicable county and municipal portions.
Here is an illustrative example to show the math. If the sale price is $300,000, the state tax at 1.00% is $3,000. If a county or municipal tax of 0.50% applies, that adds $1,500, for a total transfer tax of $4,500. These examples are for illustration only. Always confirm the exact components with your settlement agent before closing.
Franklin Park specifics
Franklin Park is in Allegheny County. The statewide 1.00% applies, and Allegheny County and the municipality may also impose transfer taxes. Do not assume there is no local tax. Local rates and rules can change, so it is important to verify what applies to your property’s taxing jurisdictions.
Your quickest route to accurate numbers is your title or settlement company. They will calculate and itemize all transfer tax components for the Closing Disclosure and handle payment at recording. You can also confirm current practices by contacting the Allegheny County Recorder of Deeds or the Franklin Park municipal office. If you have a mortgage, your lender and the title company will confirm what must be paid before recording.
Who pays at closing
Payment of transfer taxes in Pennsylvania is negotiable and should be spelled out in the purchase agreement. Many transactions split the total 50/50 between buyer and seller. In other cases, contracts specify that the seller pays, or a seller concession covers it. There is no single rule that assigns payment to one party.
If the seller is responsible, the settlement agent deducts the tax from the seller’s proceeds and remits payment when recording the deed. If the buyer is responsible, the buyer brings the tax as part of cash to close. If split, the settlement statement shows separate debits in the buyer and seller columns.
Negotiation tips
- Clarify transfer tax responsibility in the purchase agreement so there are no surprises.
- Ask your agent or settlement attorney about common allocation practices in Franklin Park.
- If timing or buyer liquidity is tight, a seller may agree to cover transfer tax to support a smoother closing.
Find it on your statement
On the buyer’s Closing Disclosure, transfer taxes typically appear under “Other taxes, government recording and transfer charges” or “Other Costs,” depending on the software used. Sellers receive a separate seller Closing Disclosure or settlement statement with a similar section for debits.
Expect to see line items such as “Pennsylvania Real Estate Transfer Tax” for the state portion, plus “County Transfer Tax” and “Municipal Transfer Tax” if applicable. Some statements show a single “Realty Transfer Tax” line with the total, and the buyer and seller shares appear in their respective columns. Recording fees for the deed and mortgage are separate charges and are not the transfer tax.
If you want a walkthrough, ask the settlement agent to review the statement before signing. A few minutes of review helps ensure you understand who pays what and why.
Exemptions and edge cases
Some transfers may qualify for exemptions, each with documentation requirements. Examples include transfers between spouses, certain estate-related transfers, transfers to governmental entities, and some no‑consideration transactions. Sheriff’s sales or foreclosures may be handled differently. New construction generally still incurs transfer tax unless a specific exemption applies.
To claim an exemption, you typically need to sign and file an affidavit or state form with the deed. The title company usually prepares the paperwork, but you must supply accurate details to support the exemption. If required transfer taxes are not paid, the deed may not be recorded, and penalties or interest can apply. Many lenders require proof of payment before they fund and record.
Budgeting checklist
- Ask your agent and title company whether Allegheny County or Franklin Park adds local transfer taxes to the 1.00% state portion.
- Request a preliminary settlement statement that shows state, county, and municipal components and who pays each.
- If you think an exemption could apply, ask the title company what documentation is required and whether the county will accept it.
- Confirm with your lender whether any portion must be paid in cash or can be financed under your loan program.
Illustrative examples
- If only the state tax applies and you split it 50/50 on a $350,000 sale: the total is $3,500, with $1,750 to the buyer and $1,750 to the seller.
- If county or municipal taxes add 0.50% and the seller pays all on a $350,000 sale: the total is 1.50% or $5,250, debited to the seller.
These are illustrative examples. Confirm actual local rates and final amounts with your title company and lender.
Get local help
Clear guidance and early planning keep closings on track. Our team regularly coordinates with title companies, lenders, and attorneys in the North Hills to confirm transfer tax allocations, prepare preliminary settlement statements, and help you avoid last‑minute surprises. If you are buying or selling in Franklin Park, we can help you navigate the numbers with confidence.
Ready to plan your closing with clarity? Connect with Linda Honeywill for local guidance and a streamlined, high‑touch experience.
FAQs
What is the Pennsylvania realty transfer tax rate?
- The state portion is commonly 1.00 percent of the sale price, with possible county or municipal additions; confirm exact current rates with your settlement agent.
Who usually pays transfer tax in Franklin Park sales?
- Payment is negotiable; many deals split 50/50 or have the seller pay, and your purchase agreement sets the final allocation.
Where do transfer taxes appear on the Closing Disclosure?
- Look in sections labeled “Transfer taxes” or “Other taxes, government recording and transfer charges,” often with separate state, county, and municipal lines.
Are there exemptions from transfer tax in Pennsylvania?
- Certain transfers, such as between spouses or to governmental entities, may qualify if proper affidavits are filed with the deed at closing.
What happens if transfer tax is not paid at closing?
- The deed may not be recorded, penalties or interest can apply, and many lenders will not fund or record without proof of payment.
How do I budget for transfer tax on a Franklin Park home?
- Multiply the sale price by 1.00 percent for the state tax, add any county or municipal percentages from your title company, then apply the buyer‑seller split in your contract.
