Kevin and Linda are negotiating the purchase of a $650,000 home in Spokane. Kevin, the buyer, insists that the purchase agreement specify that he will pay the REET so the seller will accept a lower price. Which of the following statements is most accurate regarding this arrangement?
Correct Answer
D) This arrangement is permissible by contract, but the seller remains primarily liable under state law if REET goes unpaid
Under RCW 82.45, the seller is the party primarily responsible for paying REET. However, parties may contractually agree that the buyer will pay REET as part of their negotiated terms. This contractual arrangement is permissible, but it does not eliminate the seller's underlying statutory liability to the state. If the buyer fails to pay, the state can still pursue the seller. The county treasurer will not record the deed until REET is paid, regardless of who the contract designates as the payer.
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