In short
Connecticut charges a real estate conveyance tax on a sale of $2,000 or more. The state part is 0.75% of the price, rising to 1.25% on the part of a home price above $800,000 (C.G.S. § 12-494). The municipal part is 0.25%, and the Connecticut General Assembly’s research office reported in 2020 that Hartford adds another 0.25%, for 0.5%. The seller pays (§ 12-495).
What is the state rate?
The state part is set by C.G.S. § 12-494, as currently posted by the General Assembly. The rate depends on the property.
| Property conveyed | State rate | Source |
|---|---|---|
| Home (residential estate), the part of the price up to $800,000 | 0.75% | § 12-494(b)(2)(A) |
| Home, the part above $800,000 and up to $2,500,000 | 1.25% | § 12-494(b)(2)(C)(i) |
| Home, the part above $2,500,000 | 2.25% | § 12-494(b)(2)(C)(ii) |
| Unimproved land (includes farm, forest and open space land) | 0.75% | § 12-494(a)(1), (b) |
| Property not used for residential purposes, other than unimproved land | 1.25% | § 12-494(b)(1) |
The statute applies the higher home rates to a “residential estate”, meaning the main dwelling plus any auxiliary housing or structures, even if several deeds are used. Since July 1, 2025, the state must also move any state conveyance revenue above $300 million a year into the Housing Trust Fund (§ 12-494(d)).
What is the municipal rate in Hartford?
By statute, the municipal part is one-quarter of one percent (0.25%) of the price, and it becomes general revenue of the town where the deed is recorded (§§ 12-494(a)(2), 12-499).
A “targeted investment community” may add up to another 0.25% (§ 12-494(c)). Hartford is on the list of 19 eligible municipalities in the Office of Legislative Research report of July 9, 2020, which says that all of them except Groton, Stamford and Thomaston impose the full extra 0.25%. That makes 0.5% the municipal rate in Hartford according to that report. The report is six years old, so confirm the current rate with the Hartford Town Clerk before you plan around it. In a town with no extra tax, the municipal part is 0.25%.
Who pays the tax?
By law, the person conveying the property pays, to the town clerk, when the deed is recorded (§ 12-495). The clerk may not record a taxable deed until the Department of Revenue Services (DRS) return is filed and the tax is paid (§ 12-497). The return is Form OP-236, which DRS lets you file free online through myCTREC. A purchase contract can still shift costs between buyer and seller, so check what yours says.
Which transfers are exempt?
Section 12-498 lists the exemptions. Several matter to homeowners:
- Deeds between spouses.
- Deeds in lieu of foreclosure that transfer the transferor’s principal residence.
- A principal-residence sale where the price does not cover the mortgages plus the real property taxes and municipal charges that rank ahead of them (a short sale).
- Deeds made under certain court decrees, including a judgment of foreclosure by market sale.
- A principal residence with a foundation damaged by pyrrhotite, if the owner has a written engineer’s evaluation.
- Deeds where the price is under $2,000.
Two extra rules remove only the state part. One covers a principal residence of a person approved for certain state tax-relief programs (§§ 12-129b or 12-170aa) for the current assessment year or within 15 months of it. The other covers property in an enterprise zone (§ 12-498(b)).
Example: what a seller pays in Hartford
These examples use the rates above and a Hartford municipal rate of 0.5%. The prices are examples, not Hartford medians.
| Sale price | State tax | Hartford tax (0.5%) | Total | Share of price |
|---|---|---|---|---|
| $300,000 | $2,250 (0.75% × $300,000) | $1,500 | $3,750 | 1.25% |
| $900,000 | $7,250 ($6,000 on the first $800,000 + $1,250 on the other $100,000 at 1.25%) | $4,500 | $11,750 | 1.31% |
The municipal rate applies to the whole price. Only the state rate steps up above $800,000.
For the other costs at closing, see closing costs in Connecticut. For the tax you pay each year as an owner, see Connecticut property tax. The Hartford guide gives the city picture, and capital gains on a home sale is a separate federal question.
Frequently asked questions
Does Connecticut have a real estate transfer tax?
Yes. Connecticut calls it the real estate conveyance tax. It has a state part and a municipal part, and it applies when the price is $2,000 or more (C.G.S. § 12-494).
Who pays the conveyance tax in Connecticut, the buyer or the seller?
The seller. Section 12-495 makes the tax payable by the person conveying the property, at recording. The buyer’s lender normally does not collect it.
How much is the conveyance tax on a $400,000 house in Hartford?
Using the statute and the 0.5% Hartford municipal rate reported in 2020, it is 1.25% of the price: $3,000 to the state and $2,000 to the city, or $5,000 in total. Confirm the municipal rate with the town clerk.
Is the state rate higher on expensive homes?
Yes. For a home, the state rate is 0.75% up to $800,000, 1.25% from $800,000 to $2.5 million, and 2.25% above $2.5 million. Each rate applies only to its slice of the price.
Is the tax due when I refinance?
Section 12-498 exempts deeds that secure a debt and deeds of release of property that is security for a debt. A refinance that only records a mortgage is therefore not a taxable conveyance. A sale or other transfer for consideration of $2,000 or more is.
Compare with the other states: Real estate transfer tax by state.
More Connecticut guides
- Closing costs in Connecticut: what buyers and sellers pay
- Connecticut property tax: mill rates, assessment and Hartford
- Seller disclosure requirements in Connecticut
- Do you need a real estate attorney to close in Connecticut?
- Foreclosure process in Connecticut
- Home prices in Connecticut and Hartford: median value and trend
- First-time home buyer programs in Connecticut: CHFA and Hartford
- How to verify a real estate license in Connecticut
Sources
- Connecticut General Statutes, Chapter 223, Real Estate Conveyance Tax, §§ 12-494 to 12-499 (Connecticut General Assembly) (consulted October 13, 2026)
- Real Estate Conveyance Tax, OLR Report 2020-R-0020 (Connecticut General Assembly, Office of Legislative Research) (consulted October 13, 2026)
- Real Estate Conveyance Tax Information, Form OP-236 and instructions (Connecticut Department of Revenue Services) (consulted October 13, 2026)