San Diego Documentary Transfer Tax Explained

Most of the closing costs associated with buying San Diego real estate are generated by the private firms who handle the sale. There are, however, two costs which arise from the role of local government in the process. One cost is the recording fees which are based on the number of pages needed to complete the transaction, such as grant deed or deed of trust. The other cost is the documentary transfer tax which is collected when properties change hand for consideration.

Both of these fees can be found on escrows closing statement under title fees. The common misconception is that the title insurance company is profiting from these fees. In fact, these fees are always collected by the County office upon recording and due in full.

The current documentary transfer tax amount in San Diego County is $1.10 per each $1,000.00 on the sale price or value of the real property being transferred.

Example Documentary Transfer Tax Calculation

Sales Price: $650,000.00

San Diego Property Tax Rate: $1.10 per each $1,000.00 of sale price

Computation: $650,000.00 / $1,000 = 650

650 x $1.10 = $715.00 Documentary Transfer Tax