Effective January 1, 2015

As of January 1, 2015, a new California law requires documentary transfer tax to be included on the face of a property deed.  It’s been common practice, in commercial real estate purchase and sales transactions, to provide the amount of documentary transfer tax via unrecorded declaration to prevent the final purchase price from being readily understood. The amendments enacted by AB 1888 will eliminate this practice as of January 1, 2015.

Under the new law, not only is the location of the property required to be shown on the face of the deed, but also the amount of the transfer tax due.  Pending purchase or sales transactions are not exempted from this requirement.

Have a wonderful day and please let me know if you need anything.