Real Estate Closing Costs Are Rising in Allegheny & Westmoreland: Transfer Taxes, Recording Fees, Effective Dates, and What Buyers & Sellers Must Know

Pennsylvania Realty Transfer Tax: The 1% State Base + Local Add-Ons

Pennsylvania imposes a 1% state realty transfer tax on the value of real estate transferred by deed, long-term lease, or other conveyance. This tax is collected at closing—often alongside local add-ons—and is generally split between buyer and seller by custom (though parties can negotiate otherwise). While the state rate is fixed, municipalities and school districts add their own percentages, creating totals that often exceed 2%.

Allegheny County: Where Total Transfer Taxes Now Exceed 2% (and When They Took Effect)

Across much of Allegheny County, the total transfer tax historically equaled 2% (1% state + 0.5% municipal + 0.5% school district). However, several municipalities have adopted higher local rates, increasing total transfer taxes to 2.5% or 3.0%—and in the City of Pittsburgh, 5.0%.

• City of Pittsburgh: Total 5.0% (3% city + 1% school + 1% state). Effective February 1, 2020.

• Municipalities at 2.5% total: Bellevue, Bethel Park, Green Tree, Hampton Township, McCandless, Monroeville, Mt. Lebanon, Upper St. Clair, and others. Effective September 1, 2023.

• 3.0% totals: McKeesport City and Mt. Oliver Borough.

A $300,000 sale in a 2.5% municipality adds $7,500 in transfer tax versus $6,000 at 2.0%; in Pittsburgh at 5%, it’s $15,000.

Westmoreland County: Mostly 2.0%—But Watch the Exceptions

Westmoreland County generally adheres to a 2.0% total transfer tax (1% state + 1% local split between municipality and school district). However, Greensburg and Murrysville impose 1.5% local, bringing the total to 2.5%. These changes were reflected in industry charts as effective September 1, 2023.

Recording Fees: Allegheny & Westmoreland Schedules

Beyond transfer taxes, county recording fees apply to deeds, mortgages, and other documents.

• Allegheny County: Fees vary by document; check the official fee schedule.

• Westmoreland County: $110.25 to record a deed; $82.25 for leases; additional charges for multi-page documents.

Recording fees don’t fluctuate as often as transfer taxes, but they impact closing totals—especially for complex transactions.

Effective Date Recap

• Pittsburgh 5% rate: Effective February 1, 2020.

• Allegheny municipalities at 2.5% or 3.0%: Effective September 1, 2023.

• Westmoreland exceptions: Greensburg & Murrysville at 2.5% total since 2023.

• Recording fees: Current schedules published by county offices; verify before closing.

Impact on Buyers & Sellers

Higher transfer taxes reduce seller net proceeds and increase buyer cash-to-close. Contracts can allocate responsibility differently, but accurate estimates are essential to avoid surprises.

Best Practices for Managing Higher Closing Costs

• Verify your municipality’s rate early.

• Use updated rate tables and official county resources.

• Factor in recording fees for deeds and mortgages.

• Include protective contract language for tax changes.

• Review the ALTA settlement statement before closing.

Transfer taxes and recording fees in Allegheny and Westmoreland Counties can materially alter your net proceeds and cash-to-close. Municipal rate changes—some effective since September 1, 2023—make it risky to rely on outdated assumptions.

Call the attorneys at Ament Law Group today for a personalized review of your municipality’s rates, closing statement, and recording needs—so you can close confidently with no surprises.