Michigan Real Estate Transfer Tax Calculator

Michigan combines two statutory layers into its transfer tax: a state real estate transfer tax of $3.75 per $500, or 0.75%, under MCL 207.523, plus a county transfer tax of $0.55 per $500, or 0.11%, under MCL 207.502, for a combined rate of roughly 0.86% in a typical Michigan county. That combined rate is meaningfully higher than neighboring Indiana's $0, neighboring Ohio's roughly 0.4% combined, or neighboring Wisconsin's flat 0.3%.

The seller is responsible under Michigan law by default, and while the purchase agreement can negotiate a different allocation, the statutory default and market norm is seller-paid. Michigan does provide statutory exemptions in certain circumstances, including some transfers where the state equalized value has not increased, that can reduce or eliminate the state portion, though this calculator applies the standard combined rate to a typical arm's-length sale.

On the calculator's $380,000 baseline, that combined 0.86% produces $3,268 in total tax due, roughly $2,850 from the state layer and $418 from the county layer, a two-line breakdown a Michigan closing statement typically itemizes separately rather than presenting as one figure.

1. Start with the sale price, the full consideration paid for the property as stated on the deed.
2. Apply the state rate of 0.75% ($3.75 per $500) to the full sale price.
3. Apply the county rate of 0.11% ($0.55 per $500) to the full sale price.
4. Add the two together for a combined effective rate of 0.86%.

Both components are flat rates applied to the entire consideration, with no brackets and no additional mansion-tax cliff for high-value sales at the state level.

Baseline scenario, $380,000 sale price:

• State transfer tax: $380,000 × 0.75% = $2,850.00
• County transfer tax: $380,000 × 0.11% = $418.00
• Total transfer tax due: $3,268.00
• Net proceeds after transfer tax: $380,000 − $3,268.00 = $376,732.00

Luxury scenario, $1,500,000 sale price:

• State transfer tax: $1,500,000 × 0.75% = $11,250.00
• County transfer tax: $1,500,000 × 0.11% = $1,650.00
• Total transfer tax due: $12,900.00
• Net proceeds after transfer tax: $1,500,000 − $12,900.00 = $1,487,100.00

The effective combined rate holds steady at 0.86% at both price points, since neither the state nor the county portion uses graduated brackets.

• The MCL 207.526(u) exemption. Michigan allows sellers to claim an exemption from the state portion of the transfer tax (though not the county portion) when the property's state equalized value at sale is equal to or less than its SEV at the time of the seller's last arm's-length purchase, a scenario common after a declining local market. This calculator computes the standard statutory rate and does not attempt to model that exemption, since it depends on assessment history the calculator does not collect.
• Discretionary county rate increases. While all counties currently charge the standard $0.55 per $500, county boards technically have some latitude under state law, and this calculator uses the uniform statutory rate.
• Recording and title fees. Register of deeds recording fees, title insurance, and survey costs are separate line items not part of the transfer tax itself.
• Land contract and lease-to-own structuring. Certain non-standard conveyance structures can shift how and when transfer tax is assessed; this calculator assumes an ordinary deed transfer.

• Forgetting the county tax exists. Many people only remember the more commonly cited 0.75% state rate and are surprised when the closing statement shows a higher combined figure.
• Assuming the SEV exemption applies automatically. The state-portion exemption for stagnant or declining property values under MCL 207.526(u) requires an affidavit and is not automatic; absent that filing, the full 0.75% state rate applies.
• Mixing up "per $500" and percentage figures. Michigan's statutes are written in dollars-per-$500 terms, which is easy to misconvert; $3.75 per $500 is 0.75%, not 0.375%.
• Assuming buyer and seller split the tax. In Michigan, the grantor (seller) is statutorily responsible, unlike states such as New Hampshire where the tax is explicitly split.

• Michigan Department of Treasury, State Real Estate Transfer Tax (MCL 207.523) and County Real Estate Transfer Tax (MCL 207.502)
• engine/tables/2026/state-real-estate-transfer-tax.json, verified 2026-08-21