The Minnesota Senate Finance Committee is meeting Wednesday morning, April 25, at 8:30 in Capitol Room 123 to hear testimony and vote on Senate File 442, a change in the state deed tax. If you own a house and sell it in the future, Senate File 442 will impact your sale if it passes.
Currently when a house is sold and the deed is filed, the filing fee is $3.40 per $1000. A house that sold for $100,000 would pay $340 for filing the deed under today's law. Wednesday morning the Senate Finance Committee will vote on whether to increase that tax by 50% to $5.10 per $1000. That same $100,000 sale would have a new deed tax of $510. The median price for a home in Ramsey county in February was $203,000. The deed tax for a median priced home sale would be $690.20 under the existing system. Under the proposed change in the deed tax the new tax would be $1,035.30! The $345.10 difference could pay for the home buyer's inspection on that same house.
If you'd like to take a stand on this bill you can click here for a sample response to your Senator.