Closing Taxes Compared
Closing Taxes in DC, Maryland and Northern Virginia Compared
The deed taxes charged in Washington DC, Montgomery County and Northern Virginia, side by side, with who the law assigns each one to.
The short answerWashington DC, Montgomery County and Northern Virginia tax a home sale differently. DC charges a recordation tax and a transfer tax of 1.45% each at $400,000 and above. Montgomery County charges a 0.5% state transfer tax, a 1% county transfer tax and a tiered recordation tax. Northern Virginia charges a recordation tax, a grantor tax and two regional fees, at lower rates than DC or Montgomery County.
Rates from the DC Code and OTR, Maryland Tax-Property § 13-203, Montgomery County Code §§ 52-16B and 52-31, and Code of Virginia Title 58.1, Chapter 8. Full sources below.
How do closing taxes compare across DC, Maryland and Northern Virginia?
Each jurisdiction taxes the recording of a deed differently. The table sets the published rates side by side for a residential sale. Montgomery County stands in for Maryland because each Maryland county sets its own local taxes.
| Washington DC | Montgomery County, MD | Northern Virginia | |
|---|---|---|---|
| Recordation tax | 1.45% at $400,000 or more; 1.1% below | $4.45 to $11.35 per $500, in tiers | $0.25 per $100 state, plus one-third of that locally where adopted |
| Transfer or grantor tax | 1.45% at $400,000 or more; 1.1% below | 0.5% state, plus 1% county | Grantor tax of $0.50 per $500 |
| Regional fees | None | None | $0.10 per $100, twice |
| First-time buyer break | 0.725% recordation rate, if eligible | State transfer tax drops to 0.25%, paid by the seller | None in the Recordation Tax Act |
| Who the law assigns | Transfer tax: seller. Recordation tax: both parties, jointly. | Contract decides, except first-time buyer state transfer tax: seller | Grantor tax and regional fees: seller unless agreed. Recordation: contract decides. |
Which jurisdiction charges the highest deed tax rates?
Washington DC charges the highest single rates of the three: 1.45% each for recordation and transfer on residential sales of $400,000 or more. Montgomery County's recordation tax reaches $11.35 per $500 on the portion of a price above $1,000,000, on top of the 0.5% state and 1% county transfer taxes. Northern Virginia's rates are the lowest of the three.
Where to read each jurisdiction in full
- DC Recordation and Transfer TaxThe two DC deed taxes, who the law assigns them to, and the 0.725% first-time buyer rate.
- Montgomery County Transfer and Recordation TaxesState and county transfer taxes, the tiered recordation tax, and the owner-occupant and first-time buyer breaks.
- Virginia Grantor and Recordation TaxesState and local recordation taxes, the grantor tax and the two Northern Virginia regional fees.
These are the taxes charged when a deed is recorded. Title, lender and settlement charges are separate and are not covered here.
Frequently Asked Questions
Are closing taxes higher in DC or Virginia?
Higher in DC. DC's recordation and transfer taxes are 1.45% each on residential sales of $400,000 or more, while Virginia's state recordation tax is $0.25 per $100 and its grantor tax is $0.50 per $500.
Does Maryland charge a transfer tax?
Yes. Maryland charges a 0.5% state transfer tax. Montgomery County adds a 1% county transfer tax and its own tiered recordation tax.
Which jurisdictions give first-time buyers a break on closing taxes?
DC and Maryland do; Virginia does not. DC offers a 0.725% recordation rate to qualifying first-time buyers, and Maryland cuts its state transfer tax to 0.25% paid by the seller.
Who pays closing taxes in DC, Maryland and Virginia?
It depends on the jurisdiction. DC assigns its transfer tax to the seller, Virginia assigns its grantor tax and regional fees to the seller unless agreed otherwise, and Maryland leaves most taxes to the contract.
Do Northern Virginia sellers pay extra fees?
Yes. Two regional transportation fees of $0.10 per $100 each apply in Northern Virginia, assigned to the seller unless the parties agree otherwise.
Buying or Selling Across the Region?
FORWARD at Corcoran McEnearney advises buyers and sellers in Washington DC, Maryland and Northern Virginia. Marc Cashin, Ashling McGowan, Niki Lang, Cesar Rivera and Charlotte Lee can compare the closing taxes on specific properties before an offer is written.
Talk to an AdvisorMore guides: Washington DC guides · Maryland guides · Northern Virginia guides · All Resources
Sources: DC OCFO, Tax Rates and Revenues, Property Taxes; DC Code § 42-1103 and § 47-903; Maryland Code, Tax-Property § 13-203; Montgomery County Code § 52-16B and § 52-31; Code of Virginia, Title 58.1, Chapter 8. Updated November 2026. General information, not tax or legal advice. Confirm with the DC Office of Tax and Revenue, the Montgomery County Department of Finance or the local Virginia circuit court clerk, a tax professional or an attorney before acting.