In New Jersey, the seller is responsible for paying the transfer tax at closing. The transfer tax rate is 1% of the purchase price for properties sold for $1 million or less, and 1.5% for properties sold for more than $1 million. For example, if the sale price is $200,000, the seller would pay $2,000 in transfer tax.
The transfer tax is a fee that is imposed by the government to help fund various services, such as schools, roads, and parks. The tax is also used to help maintain public records and to provide other services to homeowners.
The seller is responsible for paying the transfer tax at closing. The tax is typically paid to the county clerk’s office where the property is located.
If you are selling land by owner in New Jersey, be sure to factor in the transfer tax when calculating your closing costs. You can also ask your real estate attorney to help you estimate the amount of transfer tax that you will need to pay.