Selling a Home in Connecticut
Connecticut sellers pay one of the highest transfer-tax burdens in the country. The state Real Estate Conveyance Tax is graduated on residential property: 0.75% on the first $800,000, 1.25% on the portion between $800,000 and $2.5 million, and 2.25% on the portion above $2.5 million. Every municipality also charges a conveyance tax — 0.25% baseline, or up to 0.50% in eighteen designated 'targeted investment communities.' On top of conveyance tax, sellers pay agent commissions, the owner's title insurance policy, attorney fees, and recording fees.
Connecticut Transfer Tax & Closing Costs
Connecticut uses an attorney-closing model — both buyer and seller retain counsel. The seller customarily pays the full state and municipal conveyance tax, the owner's title insurance policy, and their own attorney's fee. Recording fees are a small fixed cost at closing.
How to Estimate Your Connecticut Net Proceeds
- Sale Price: Start with the agreed-upon contract price.
- Mortgage Payoff: Subtract your remaining loan balance and accrued interest through closing.
- Transfer Taxes: Apply the state, county, and any municipal transfer tax owed by the seller.
- Closing Costs: Deduct commissions, owner's title insurance, attorney/escrow, and recording fees.
Connecticut Net Proceeds = Sale Price − Mortgage Payoff − Commissions − Transfer Taxes − Closing Costs
