Missouri REALTORS® Play Key Role in Transfer-Tax Ban
Most state and some local governments impose a real estate transfer tax when there is a change in the ownership of a property. The tax is often added into the price of a home, making the buying of a home less affordable.
Real estate transfer tax rates vary from state to state. In a state where the rate is as high as 2% of the sale price, the transfer tax on a home that sells for $150,000 would be $3,000.
Now in Missouri, however, homebuyers no longer have to deal with these taxes. Thanks to the efforts of the Missouri Association of REALTORS® and the National Association of REALTORS®, Missourians got to vote on a ballot initiative that amended the state’s constitution to ban real estate transfer taxes. An overwhelming majority of voters, 83.7%, voted in favor of the measure.
Through the passage of this amendment, Missouri proudly joined the minority of states barring real estate transfer taxes.
Since 2007, the National Association of REALTORS® has played key roles in getting five states to ban real estate transfer taxes.