Ever look at a closing statement and wonder why a “transfer tax” is there and who pays it? If you are buying or selling in Ogunquit, a clear picture of this cost will help you plan with confidence. In a few minutes, you will learn the Maine rate, how the math works, who typically pays, and what to expect at the York County Registry of Deeds. Let’s dive in.
Maine transfer tax basics
State rate and split
- The statewide Real Estate Transfer Tax is set by law at $2.20 for each $500 of value, or any fraction of $500. See 36 M.R.S. § 4641-A for the official rate and rules. Review the statute.
- By default, the tax is imposed one half on the seller and one half on the buyer. Your purchase and sale agreement can allocate it differently, but the county will collect the full amount at recording.
How to calculate your amount
- Rule of thumb: divide the price by $500, round up to the next whole unit, then multiply by $2.20. Maine Revenue Services explains the calculation and filing steps. See the state guidance.
- The declaration of value that accompanies the deed is what the county uses to compute the tax, so accuracy matters.
What buyers and sellers pay in Ogunquit
No Ogunquit town transfer tax
- Good news. There is no separate Ogunquit municipal transfer tax. You will pay the Maine transfer tax only, plus any standard county recording fees. The York County Registry of Deeds provides local recording details. Check the registry page.
York County recording fees
- Recording fees are separate from transfer tax. Typical example: $22 for the first page and $2 for each additional page of the deed, with small charges for extra indexing or certifications as needed. Confirm current fees with the registry.
- A 3 to 4 page deed often totals about $26 to $28 to record, before copies or certifications.
Quick cost examples
$300,000 sale price
- Units: 300,000 ÷ 500 = 600
- Total transfer tax: 600 × $2.20 = $1,320
- Typical split: Seller $660, Buyer $660
$625,000 sale price
- Units: 625,000 ÷ 500 = 1,250
- Total transfer tax: 1,250 × $2.20 = $2,750
- Typical split: Seller $1,375, Buyer $1,375
$1,200,000 sale price
- Units: 1,200,000 ÷ 500 = 2,400
- Total transfer tax: 2,400 × $2.20 = $5,280
- Typical split: Seller $2,640, Buyer $2,640
Note: Because Maine uses “fractional part of $500,” even one extra dollar bumps you to the next unit.
Exemptions and special situations
- Maine law lists specific exemptions, including certain government transfers, some family transfers, deeds that correct a prior deed without new consideration, and other defined cases. Review 36 M.R.S. § 4641-C and have your closing attorney confirm what applies and what documentation is needed. Read the exemptions statute.
Entity and controlling interest transfers
- If you are buying or selling an interest in a company that owns Maine real estate, a controlling interest transfer can trigger a similar tax and separate filing, even if no deed is recorded. Maine Revenue Services outlines how this works. See state guidance.
Closing day, step by step in York County
- Your closing agent or attorney prepares the Real Estate Transfer Tax Declaration and the deed.
- The deed is presented for recording at the York County Registry of Deeds in Alfred. Find registry info.
- The registry computes and collects the transfer tax and any recording fees.
- The deed is recorded, and proof of payment is noted in the transfer tax system. Maine law describes the declaration requirement at 36 M.R.S. § 4641-D. Review the declaration statute.
Smart prep checklist
- Confirm the transfer tax split in your purchase and sale agreement.
- Ask your closing agent to verify the exact tax and the current York County recording fees before you sign.
- If you think an exemption applies, have your attorney review the statute and gather the required documentation early.
- Sellers, keep your closing statement and proof of transfer tax payment. For federal taxes, transfer taxes are generally a selling expense that can reduce the amount realized when you sell a principal residence. Review IRS Publication 523 and consult your tax advisor. Read IRS Pub. 523.
Getting the numbers right will keep your Ogunquit closing smooth and surprise free. If you would like a clear estimate for your situation or help negotiating who pays what, connect with Brooke Peterson for local guidance from contract to closing.
FAQs
Who pays the Maine transfer tax in an Ogunquit home sale?
- By statute, the tax is imposed half on the seller and half on the buyer, unless both parties agree otherwise in the contract. See 36 M.R.S. § 4641-A.
How much is the transfer tax on a $625,000 Ogunquit home?
- Using Maine’s formula, 625,000 ÷ 500 = 1,250 units. At $2.20 per unit, the total is $2,750, typically split $1,375 each.
Does Ogunquit charge a local transfer tax in addition to the state tax?
- No separate town transfer tax applies. You pay the Maine transfer tax plus standard York County recording fees. Confirm details with the registry.
Are recording fees the same as transfer tax in York County?
- No. Recording fees are separate and typically start at $22 for the first page and $2 for each additional page of the deed, plus any small indexing or certification charges. See the registry info.
Can the Maine transfer tax reduce my capital gains when I sell?
- Transfer tax paid by the seller is generally a selling expense that reduces the amount realized for federal capital gains calculations. Review IRS Publication 523 and consult a tax advisor. Read IRS Pub. 523.
