Most sellers in the Richmond area find out what the grantor tax is roughly forty-eight hours before closing, when the settlement statement arrives and there is a line on it they were not expecting. It is not a large number next to the commission, but it is real money, it is fixed by statute rather than negotiable, and it is one of the few closing figures you can calculate exactly today.
Here is what Virginia actually charges to move a deed from your name to someone else’s, who pays which piece, and what it comes to on a median priced home.
The grantor tax is the seller’s, and it is set in the Code
Virginia levies a tax on the person conveying the property. Under Code of Virginia 58.1-802, the rate is 50 cents for each $500 of consideration or value, whichever is greater, or any fraction of $500. That works out to $1 per $1,000 of sale price.
The statute says plainly that this tax is paid by the grantor. That is one of the few allocations in a Virginia closing that is not merely customary. Commission splits, who pays for the survey, who covers the settlement fee, all of that is negotiable. The grantor tax is assigned by law.
One detail catches people in unusual transactions. The tax is calculated exclusive of the value of any lien or encumbrance remaining on the property at the time of sale. In an ordinary sale where your mortgage is paid off at closing, nothing remains, so the tax applies to the full price. If a buyer is taking the property subject to an existing lien, the calculation changes.
Recordation tax is the buyer’s side of the same transaction
Separately, Code of Virginia 58.1-801 imposes a state recordation tax on every deed admitted to record, at 25 cents per $100 or fraction of the consideration or the actual value of the property, whichever is greater. That is $2.50 per $1,000, and by custom in this market it sits on the buyer’s side of the settlement statement.
On top of that, Code of Virginia 58.1-814 lets any city council or county board impose a local recordation tax equal to one third of the state amount. Our localities do. So the practical recordation figure is the state rate plus a third again.
If the buyer is financing, there is a third charge. Under Code of Virginia 58.1-803, recording the deed of trust costs 25 cents per $100 of the amount secured, which is the loan amount rather than the purchase price.
What it comes to on a real Richmond number
Take the August 2026 Richmond Metro median of $450,000, with a buyer putting twenty percent down on a $360,000 loan.
Statutory transfer costs on a $450,000 Richmond-area sale
| Charge | Statutory rate | Amount | Customarily paid by |
|---|---|---|---|
| Grantor tax (58.1-802) | 50 cents per $500 | $450 | Seller, by statute |
| State recordation, deed (58.1-801) | 25 cents per $100 | $1,125 | Buyer |
| Local recordation, deed (58.1-814) | one third of state | $375 | Buyer |
| Recordation, deed of trust (58.1-803) | 25 cents per $100 secured | $900 on a $360,000 loan | Buyer |
Sale price basis: Richmond Metro median sales price for single family detached homes, August 2026, $450,000, up 3.7 percent year over year. Source: Central Virginia Regional MLS, published in the Richmond Association of REALTORS sortable monthly statistics, current as of 10 September 2026. Locality-wide figure, not a neighborhood figure. Amounts above exclude the circuit court clerk’s own filing fees and any settlement agent charges.
[DATA NEEDED: median price per square foot, August 2026, by area. Not published in the free sortable tables.]
So the seller’s statutory piece on a median sale is $450. That is the whole of it. Everything else a seller pays at a Richmond closing is commission, payoff, prorated taxes, or something negotiated, and those are covered in our guide to what selling actually costs.
Want the real number for your address
Grantor tax scales with sale price, so the figure above is only yours if your home is worth exactly the metro median. A free home valuation gives you a defensible price range for your property, which is the input every other closing figure depends on. It also tells you what recent comparable homes near you actually closed at, which you can check against our recently sold properties.
Where this shows up differently across the region
The state rates are identical everywhere in Virginia, and every locality in our market levies the local third. What differs across the City of Richmond, Henrico County and Chesterfield County is not the transfer tax rate but the price level the rate applies to, and the annual property tax that follows you afterwards. On August 2026 medians, a Chesterfield seller at $453,975 pays about $454 in grantor tax, a Henrico seller at $425,000 pays about $425, and a Richmond City seller at $403,500 pays about $404.
The recurring tax is the one worth more of your attention, and we cover it in the Richmond property tax guide.
Two things that change the math
Exempt deeds. The recordation tax under 58.1-801 applies to every deed admitted to record except one exempt by law. Transfers between spouses, certain transfers incident to divorce, deeds of gift and several other categories are treated differently. If your transfer is not an ordinary arm’s length sale, ask the settlement agent before you assume the table above applies.
Value versus price. Both the recordation tax and the grantor tax are measured on consideration or value, whichever is greater. For recordation, the Code defines value of the property conveyed as the most recent property tax assessment at the time of conveyance. A sale well below assessed value does not automatically reduce the tax, which surprises sellers in estate and family transactions.
If you are working through the wider closing picture rather than this one line, start with our Richmond closing costs guide, and for what you may end up contributing to the buyer’s side, see seller concessions.
Questions about Virginia transfer taxes at closing
How much is the grantor tax on a $400,000 home in Virginia?
$400. The rate under Code of Virginia 58.1-802 is 50 cents for every $500 of consideration or value, whichever is greater, which works out to exactly $1 per $1,000 of price. A $400,000 sale produces 800 increments of $500, at 50 cents each.
Who pays the grantor tax in Virginia, the buyer or the seller?
The seller. Code of Virginia 58.1-802 states the tax is paid by the grantor or a person signing on the grantor’s behalf. Unlike most closing cost allocations in Virginia, which are customary and negotiable, this one is assigned by statute.
Is the grantor tax the same as the recordation tax?
No, they are separate taxes in the same chapter of the Code. The grantor tax under 58.1-802 is 50 cents per $500 and falls on the seller. The state recordation tax under 58.1-801 is 25 cents per $100 on the deed and customarily falls on the buyer, with a local recordation tax of one third of that amount added under 58.1-814.
Does the buyer pay recordation tax on the loan as well as the deed?
Yes, if they are financing. Code of Virginia 58.1-803 imposes a recordation tax of 25 cents per $100 on the amount secured by a deed of trust. That is calculated on the loan amount, not the purchase price, so a $360,000 loan produces roughly $900 before the local addition.
Do Henrico, Chesterfield and Richmond City charge different transfer tax rates?
No. The state rates are set in the Code and apply identically statewide, and each of our localities levies the local recordation tax at the one third permitted by 58.1-814. What differs between localities is the price level the rates apply to and, far more significantly, the annual property tax rate that applies once you own the home.
Can the grantor tax be negotiated onto the buyer?
The statute assigns it to the grantor, so it appears on the seller’s side of the settlement statement. Parties can agree to other credits that change who is economically out of pocket overall, but that is a negotiated concession rather than a reassignment of the tax itself. Treat it as a fixed seller cost when you are modeling net proceeds.
What if I am selling for less than the assessed value?
The tax is measured on consideration or value, whichever is greater, and for recordation purposes the Code defines value as the most recent property tax assessment at the time of conveyance. A below-assessment sale price therefore does not automatically reduce the tax. This comes up most often in estate sales and family transfers, and it is worth raising with the settlement agent early.
Are any deeds exempt from these taxes?
Yes. Code of Virginia 58.1-801 applies to every deed admitted to record except a deed exempt from taxation by law, and the Code sets out a number of exemptions covering transfers between spouses, certain transfers incident to divorce, deeds of gift and others. If your transfer is not an ordinary sale between unrelated parties, confirm the treatment with your settlement agent or a Virginia real estate attorney rather than assuming.
