Selling a home in St. Mary's County costs a seller roughly 8% of the sale price in the example below, once you add brokerage fees, your share of transfer and recordation taxes, settlement fees and any credits you agree to give the buyer. The two biggest pieces are the commission and the government taxes, and both are spelled out in your contract before you sign.
I'll walk through every line: the St. Mary's County tax rates, who pays them, what else comes out at settlement, and a sample net sheet you can follow with a calculator. If you want the bigger picture of the whole sale, start with my step-by-step St. Mary's seller guide.
What Are the Transfer and Recordation Taxes in St. Mary's County?
Three government taxes are charged when a St. Mary's County home changes hands. The county rates come from the Maryland Department of Legislative Services fiscal 2026 tax table, and the state rate comes from Maryland Tax-Property Article 13-203.
| Tax | Rate | On a $425,000 sale to an owner-occupant |
|---|---|---|
| St. Mary's County transfer tax | 1.0% of the price, with the first $30,000 exempt when the buyer will live in the home | $3,950 |
| St. Mary's County recordation tax | $4.00 per $500 of the price | $3,400 |
| Maryland state transfer tax | 0.5% of the price | $2,125 |
| Total | $9,475 |
The $30,000 owner-occupant exemption is listed on the Capitol Title Maryland transfer and recordation chart and on my seller tips post. Your settlement company confirms the final figures.
Here's the math so you can check it: 1% of $395,000 is $3,950. $425,000 divided by $500 is 850, and 850 times $4.00 is $3,400. Half a percent of $425,000 is $2,125.
What Changes When the Buyer Is a First-Time Maryland Homebuyer?
The state transfer tax drops to 0.25%, and Maryland law says the seller pays all of it. On a $425,000 sale that's $1,062.50, which is the same dollar amount as a seller's half of the regular 0.5% rate. So in most cases it comes out even for you.
Whether a buyer qualifies as a first-time Maryland homebuyer, and how the taxes are split in your contract, are things your settlement company confirms for your sale. Don't count on the reduced rate until they do.
Who Pays the Transfer and Recordation Taxes?
It's negotiable, and your sales contract says exactly who pays what. The buyer and seller can split them, or one side can agree to cover more as part of the deal.
The sample net sheet below assumes an even split so you can see the math. Your settlement company will show the real split on the closing disclosure before you sign anything, and I'll walk you through what's typical for your sale when we write the listing plan.
How Much Is Real Estate Commission?
There's no set rate. According to the National Association of REALTORS, "broker fees and commissions are fully negotiable and not set by law."
Since August 17, 2024, offers of compensation to a buyer's agent are no longer allowed on MLS platforms, NAR says, and buyers sign a written agreement with their agent before touring. Sellers can still choose to offer compensation outside the MLS, or agree to help with a buyer's costs.
Whatever the number, ask what it covers. A listing fee usually pays for pricing research, photos and video, marketing, showings, negotiating offers, and managing inspections, appraisal and paperwork through settlement. Comparing what's included matters as much as comparing percentages.
For St. Mary's homes, that work often includes well and septic paperwork, waterfront questions near the Critical Area, and buyers shopping from another duty station who see your home on video first. Ask how each of those gets handled before you sign a listing agreement.
When we talk, I'll explain exactly what you'd pay me, what you might offer toward a buyer's agent and why, and how each choice shows up on your net sheet. No surprises at the settlement table.
What Other Costs Come Out of a Seller's Proceeds?
- Your mortgage payoff, plus any home equity line. Your lender sends the exact payoff to the settlement company.
- Settlement fees on the seller side, such as preparing the deed and recording the release of your mortgage. Your settlement company quotes these.
- Property tax proration, explained in the next section.
- Credits to the buyer if you agree to help with closing costs, which comes up often with VA and first-time buyers.
- Repairs or credits after the home inspection.
- Well and septic inspections, if your home has them. See selling a home with a well and septic.
- HOA or condo items, like a final dues payment, if your community has an association.
- Prep before listing, like paint, landscaping or a deep clean.
How Do Property Tax Prorations Work When I Sell?
At settlement, the year's property taxes are split so you pay only for the days you owned the home. If you've already paid the bill, you get a credit back from the buyer. If it's due later, you pay your share at settlement.
For principal residences on the semiannual plan, the St. Mary's County Treasurer says the first installment is due by September 30 and the second by December 31. Your settlement company checks what's been paid and does the split.
If your home is on a septic system, the Bay Restoration Fee of $60 a year also follows the owner of record, according to the Maryland Department of the Environment. My property tax guide explains the county and state rates.
Will I Owe Capital Gains Tax When I Sell?
Often not on a main home. IRS Publication 523 lets you exclude up to $250,000 of profit, or $500,000 if married filing jointly, if you owned and lived in the home for at least 2 of the last 5 years.
Service members have extra time under the same publication, which I cover in selling on PCS orders. A tax professional should confirm your situation, especially if the home was ever a rental.
What If I've Already Moved Out of Maryland?
Maryland may hold back part of your proceeds at settlement. The Comptroller of Maryland says the withholding rate for nonresident individuals is 8.75% of the total payment, for sales after June 30, 2025.
Some sellers qualify for an exemption, including a principal residence exemption. The details and the 21-day deadline are in my guide to selling your St. Mary's home after you move.
When Do I Actually Pay These Costs?
Most selling costs never come out of your pocket up front. They're taken out of your sale proceeds at settlement, and you get the rest by wire or check.
When Selling Costs Show Up
From listing prep to settlement day
- 1Before listing: any paint, repairs, or cleaning you choose to do. You pay these yourself.
- 2Under contract: inspection-related repairs you agree to, or a credit instead of repairs.
- 3Before settlement: well, septic, or other inspections, if they're part of the deal.
- 4At settlement: commission, transfer and recordation taxes, settlement fees, prorations, payoff, and buyer credits come out of your proceeds.
- 5After settlement: your proceeds are paid out, and any withholding goes to the state.
That's why the net sheet matters more than any single fee. It shows what's left after everything comes off the top on the same day.
If you're buying your next home right after, ask your lender early how proceeds from this sale will be counted. Timing the two settlements is a common question, and it's easier to plan before you list than in the middle of a contract.
Which Costs Surprise St. Mary's Sellers Most?
- Payoff interest. Your payoff includes interest through the day the loan is paid, so it's a little higher than your last statement balance.
- Well and septic follow-ups. If a water test or septic inspection finds an issue, the fix or a retest can land in the middle of your contract.
- A credit instead of a repair. Buyers often ask for money back at settlement rather than waiting on a contractor.
- Carrying costs on a vacant home. If you move first, the mortgage, utilities, lawn care and insurance keep running until settlement.
None of these are reasons to wait. They're reasons to get your paperwork and inspections lined up before the first showing.
What Does a Sample Net Sheet Look Like?
Example scenario: This is a made-up example to show the math, not a real sale. Your numbers will be different. Actual costs depend on the property, your contract, the compensation you negotiate, tax eligibility, settlement fees, and any credits or repairs. Your settlement company can prepare an estimate for your specific sale.
| Line | Amount |
|---|---|
| Sale price | $425,000 |
| Mortgage payoff | - $250,000 |
| Brokerage fees (example of 5%; every fee is negotiable) | - $21,250 |
| Seller's half of transfer and recordation taxes (owner-occupant buyer) | - $4,737.50 |
| Seller settlement fees (example estimate) | - $1,000 |
| Help toward the buyer's closing costs | - $5,000 |
| Repair credit after inspection | - $2,000 |
| Estimated cash to you at settlement | $141,012.50 |
Where Selling Costs Go on a $425,000 Sale
Example scenario, costs only (excludes mortgage payoff)
In this example, selling costs total $33,987.50, about 8% of the price, and the seller walks away with $141,012.50. Property tax proration and any HOA items would move the final number a little either way.
Who Should Answer Each Part of Your Selling Costs?
- Your settlement company: exact transfer and recordation taxes, settlement fees and prorations.
- Your lender: your payoff amount, including any interest through the settlement date.
- A tax professional: capital gains, a former rental, or nonresident withholding.
- Your agent: commission, what to offer a buyer's agent, and which repairs pay off before listing.
How Can I Keep More of My Sale Price?
- Price it right from day one. A home that sits usually ends up with a price cut that costs more than any fee. My home value guide shows what moves value here.
- Fix known issues before listing. A repaired leak costs less than the credit a buyer asks for after their inspection.
- Get your septic and well paperwork together early so it doesn't delay settlement.
- Ask for a net sheet before you sign anything. You should know your bottom line before you list.
The bottom line: in St. Mary's County, your biggest costs are the commission and your share of the 1% county transfer tax, the $4.00 per $500 recordation tax and the 0.5% state transfer tax. Start with a free home valuation, and I'll build your net sheet from it. You can also see how I help St. Mary's sellers.
Frequently Asked Questions
St. Mary's County charges a 1.0% county transfer tax and a recordation tax of $4.00 per $500 of the price, per the Maryland Department of Legislative Services. Maryland adds a 0.5% state transfer tax. See how I help St. Mary's sellers plan for these.
Yes, when the buyer will live in the home as their main residence, according to the Capitol Title Maryland transfer and recordation chart. On a $425,000 sale, that makes the county transfer tax $3,950 instead of $4,250. Your settlement company confirms it, and my seller guide covers the rest of settlement.
Yes. When the buyer is a first-time Maryland homebuyer, the state transfer tax drops to 0.25% and Maryland law says the seller pays all of it. In dollars, that usually matches a seller's half of the normal 0.5% rate.
Yes. The National Association of REALTORS says broker fees and commissions are fully negotiable and not set by law. What you offer toward a buyer's agent is a separate decision, and I go over both before you list. See my selling page.
Often not on a main home. IRS Publication 523 lets you exclude up to $250,000 of gain, or $500,000 married filing jointly, if you owned and lived in the home 2 of the last 5 years. Military rules are in my PCS selling guide.
For principal residences on the semiannual plan, the St. Mary's County Treasurer says the first installment is due by September 30 and the second by December 31. At settlement, taxes are split so you pay only for the days you owned the home. My property tax guide covers the rates.
Sources: Maryland DLS: 2026 county tax rates · Capitol Title: Maryland transfer and recordation chart · Maryland Tax-Property Article 13-203 · NAR: What the settlement means for buyers and sellers · IRS Publication 523 · Comptroller of Maryland: nonresident withholding rate · St. Mary's County Treasurer: real property bill due dates. Checked October 2026; rules and rates can change, so confirm anything that affects your decision.
This article is general real estate information, not legal, lending, tax, or insurance advice. Talk with the right licensed professional about your specific property.
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