Michael is buying a home for $275,000 in Henry County, which has a transfer tax rate of $1.00 per $1,000 of value. He is obtaining an 80% loan-to-value mortgage. What is the Henry County transfer tax due?
Correct Answer
B) $275.00
County transfer tax is based on the sale price, not the loan amount. $275,000 ÷ $1,000 = 275 units × $1.00 = $275.00. The loan amount is irrelevant for transfer tax calculation. A uses the loan amount instead of sale price. C and D are incorrect calculations.
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A buyer is acquiring replacement property in Georgia as part of a 1031 like-kind exchange. Which statement best describes how Georgia real estate transfer tax applies to this transaction?
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Karen is representing a seller in a transaction where the buyer is paying cash with no financing. Which of the following taxes will NOT be due at this closing?