How Philadelphia transfer tax works
Every time real estate changes hands in Philadelphia, the transaction is taxed at 4.278% of the sale price — one of the highest transfer tax rates of any major U.S. city. It has two parts: a 3.278% City of Philadelphia tax and a 1.00% Commonwealth of Pennsylvania tax, both collected at closing by the title company and remitted with the deed recording.
By local custom the tax is split evenly — 2.139% paid by the buyer and 2.139% by the seller — but nothing requires that split. It's negotiated in the agreement of sale, and in a competitive market buyers sometimes offer to absorb the full amount. For the complete picture (exempt transfers, family transactions, computed value rules, and budgeting at closing), read our Philadelphia transfer tax guide.
Transfer tax at common price points
| Sale price | City (3.278%) | PA (1%) | Total (4.278%) | Each party (50/50) |
|---|---|---|---|---|
| $200,000 | $6,556 | $2,000 | $8,556 | $4,278 |
| $300,000 | $9,834 | $3,000 | $12,834 | $6,417 |
| $400,000 | $13,112 | $4,000 | $17,112 | $8,556 |
| $500,000 | $16,390 | $5,000 | $21,390 | $10,695 |
| $750,000 | $24,585 | $7,500 | $32,085 | $16,042 |
Frequently asked questions
What is the Philadelphia transfer tax rate in 2026?
4.278% of the sale price in total: 3.278% to the City of Philadelphia plus 1.00% to Pennsylvania.
Who pays — buyer or seller?
Customarily it's split 50/50 (2.139% each), but the split is negotiable and set in the agreement of sale. Both parties are jointly liable for the full amount.
How much is it on a $300,000 home?
$12,834 total — $9,834 city plus $3,000 state. Split evenly, that's $6,417 per side.
Are any transfers exempt?
Yes — including many transfers between close family members and transfers involving government entities. The full guide covers exemptions and the documentation they require.