What is the percentage charged in PTT on the first $200,000?

The percentage charged in Property Transfer Tax (PTT) on the first $200,000 is typically set at 1%. This rate applies to the initial portion of the property’s sale price, meaning that for transactions where the sale price is up to $200,000, the buyer would pay 1% of that amount in taxes.

This charging structure is designed to provide a lower tax burden on more affordable properties, thereby making homeownership a bit more accessible for first-time buyers or those purchasing less expensive homes. In many jurisdictions, the rates can increase for amounts above this threshold, reflecting the principle of scaling tax rates based on the value of the property being transferred. Knowing this foundational percentage is essential for understanding real estate transactions and tax obligations in various jurisdictions.