Who Pays Transfer Taxes at Closing in Washington?

In most cases, the buyer pays the Real Estate Excise Tax (REET) at closing in Washington. This is the primary transfer tax in the state. However, there are two exceptions:

  • Controlling interest transfer: If selling a controlling interest in a business entity owning the land, the REET might be applied to the entire business value, and the seller might be responsible.
  • Negotiation: The buyer and seller can agree in the contract who pays the REET, though this is less common.

It’s crucial to remember these are general guidelines. Consulting with a qualified real estate attorney or title company in Washington is crucial for a precise estimate and to ensure a smooth and secure land sale.

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