Transfer Fees in Virginia

By
Real Estate Agent with Fathom Realty

I read an article recently by John F. Farber that brought up an interesting subject.  Transfer fees in Virginia.  Have you seen them on a settlement statement and should we be worried about them. 

Transfer fees are imposed by a developer on a piece of property for up to 99 years and are usually 1% of the gross sales price every time a property transfers ownership.  The developers say they can sell the properties cheaper but I don't see it.  What the developer does is sell the rights to the transfer fees at a substantial discount and walks away with extra cash in the pocket. 

Apparently they are legal in Virginia but used sparingly.  Let me know if any of you have seen these type fees and how do you explain them at closing.

http://www.hamptonroadsrealestate.ws Come and see ALL the Homes for Sale in Virginia Beach, Chesapeake, Norfolk, as well as the rest of Hampton Roads. This site is updated daily with new real estate listings, pictures and other information vital to your home search

 

 

 

 

 

 

 

 

Posted by

 www.geneallen.realtor  Come and see ALL the Homes for Sale in Cary, Ralegh, Wake Forest, Durham as well as the rest of the Triangle Area. This site is updated daily with new real estate listings, pictures and other information vital to your home search

 

Comments (1)

Joe Colón, Jr.
Jenny L Colón, PC - Chesapeake, VA

Hey Gene,

   This is a great question and I'll be asking our atty about it, if it's ok with you.  I too didn't know about this and look forward to getting an answer. In the mean time, I hope you have a great day.

Jan 07, 2010 07:53 AM