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HB416 • 2025

AN TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO THE REALTY TRANSFER TAX.

AN TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO THE REALTY TRANSFER TAX.

Taxes
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
K. Williams
Last action
2026-05-12
Official status
House Revenue & Finance 5/12/26
Effective date
Not listed

Plain English Breakdown

The official source material does not provide information on how the reduced revenue will be used or if local municipalities will adjust their own realty transfer taxes.

Amending Delaware's Realty Transfer Tax

The bill reduces the real estate transfer tax in Delaware by one quarter of a percentage point.

What This Bill Does

  • Decreases the realty transfer tax rate from 2.75% to 2.50%

Who It Names or Affects

  • People buying or selling real estate in Delaware

Terms To Know

Realty Transfer Tax
A tax charged when property is bought, sold, or leased in Delaware.

Limits and Unknowns

  • The bill does not specify how the reduced revenue will be used

Bill History

  1. 2026-05-12 Delaware General Assembly

    Introduced and Assigned to Revenue & Finance Committee in House

Official Summary Text

AN TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO THE REALTY TRANSFER TAX.
This Act decreases the realty transfer tax by ¼ of a percent.

Current Bill Text

Read the full stored bill text
Legislation Document

SPONSOR:

Rep. K. Williams & Sen. Walsh

HOUSE OF REPRESENTATIVES

153rd GENERAL ASSEMBLY

HOUSE BILL NO. 416

AN TO AMEND TITLE 30 OF THE DELAWARE CODE RELATING TO THE REALTY TRANSFER TAX.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

Section 1. Amend § 5402, Title 30 of the Delaware Code by making deletions as shown by strike through and insertions as shown by underline as follows:

§ 5402. Rate of tax; when payable; exception [For application of this section, see 81 Del. Laws, c. 56, § 2 and 81 Del. C. 384, § 3].

(a) Every person who makes, executes, delivers, accepts or presents for recording any document, except as defined or described in § 5401(5) of this title, or in whose behalf any document is made, executed, delivered, accepted or presented for recording shall be subject to pay for and in respect to the transaction, or any part thereof, a realty transfer tax at the rate of

3

2 ¾

percent of the value of the property represented by such document, unless the municipality or county where the property is located has enacted the full 1½ percent realty transfer tax authorized by § 1601 of Title 22 or § 8102 of Title 9, in which case

2½

2 ¼

percent, which tax shall be payable at the time of making, execution, delivery, acceptance or presenting of such document for recording. Said tax is to be apportioned equally between grantor and grantee.

(d) Every person who makes, executes, delivers, accepts or presents for recording any document defined or described in § 5401(5) of this title, or in whose behalf any such document is made, executed, delivered, accepted or presented for recording shall be subject to pay for and in respect to the transaction, or in any part thereof, a realty transfer tax at the rate of

3

2 ¾

percent of the value of the property represented by such document, unless the municipality or county where the property is located has enacted the full 1½ percent realty transfer tax authorized by § 1601 of Title 22 or § 8102 of Title 9, in which case

2½

2 ¼

percent, which tax shall be payable as follows:

(1) The tax on the consideration attributed to the first year of the term shall be payable at the time of making, execution, delivery, acceptance or presenting of such document for

recording;

recording.

(2) The tax on the consideration attributed to each successive year of the term thereafter shall be paid annually to the Division of Revenue.

Section 2. This Act takes effect on January 1, 2027.

SYNOPSIS

This Act decreases the realty transfer tax by ¼ of a percent.