CT · #29 by population

Buying a home in Connecticut

Costs and rules that are specific to Connecticut. Main city: Hartford.

In short

Connecticut taxes property sales through its real estate conveyance tax, requires an attorney to close and requires a seller disclosure form. It forecloses through the courts and is not a community property state. Deadline to appeal a property tax assessment: on or before February 20 (March 20 if the Grand List is delayed); Superior Court within two months of the board's notice.

Calculate for Connecticut

If you buy

Connecticut transfer taxes

Real estate conveyance tax: State: 0.75% up to $800,000, 1.25% from $800,000 to $2,500,000, 2.25% above $2,500,000 (homes); unimproved land 0.75%; non-residential property 1.25%. Change the price: the amount is recalculated instantly.

Price$396,900
State conveyance tax$2,976.75
Municipal conveyance tax (0.25% to 0.5% of the price)$992.25 to $1,984.50
Total transfer tax$3,969 to $4,961.25
Share of the price1% to 1.25% of the price
Who paysThe seller

Default price: the Connecticut median value of owner-occupied homes, $396,900 (Census ACS 2024). Rule: Residential estate rates apply to each slice of the price. Applies only when the price is $2,000 or more. Unimproved land is 0.75% and other non-residential property 1.25% on the whole price. Every town charges a municipal tax of 0.25% of the whole price (Conn. Gen. Stat. 12-494(a)(2)); a targeted investment community or a town with a designated manufacturing plant may add up to another 0.25% (12-494(c)). Source: Conn. Gen. Stat. 12-494 (cga.ct.gov), read October 15, 2026; OLR Report 2020-R-0020. Who pays: By law the person conveying the property pays, to the town clerk, at recording (C.G.S. 12-495). The purchase contract can shift costs. Not included: other local transfer taxes, recording fees, title insurance and lender charges. Connecticut transfer tax guide · all 50 states.

If you sell

Capital gain and the federal tax on it

Same federal rule in every state: Section 121 of the Internal Revenue Code excludes up to $250,000 of gain on a main home ($500,000 for a married couple filing jointly).

Capital gain$350,000
Section 121 exclusion$250,000 (limit $250,000)
Taxable gain$100,000
Type of gainLong-term (owned over 1 year), 15% chosen
Federal tax on the gain$15,000

Section 121 excludes $250,000; the rest is taxable.

Gain = sale price minus your adjusted basis (purchase price, buying costs and improvements); selling expenses reduce it (IRS Publication 523). Long-term rates for sales in 2026, by taxable income including the gain (IRS Rev. Proc. 2025-32, section 4.03): 0% up to $49,450 single or $98,900 married filing jointly, 15% up to $545,500 single or $613,700 jointly, 20% above. Not included: Connecticut state income tax on the gain (not computed), the net investment income tax, depreciation recapture on a rental or home office, and the reduced exclusion for an early sale. Agent commissions are negotiated and never set by law. Capital gains on a home sale.

Connecticut in short

Is there a real estate transfer tax in Connecticut?

Connecticut charges a real estate conveyance tax on sales of $2,000 or more: a state tax of 0.75% of the price on a home up to $800,000, rising on higher slices, plus a municipal tax of 0.25% or more. The seller pays.

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How much is the transfer tax on a $396,900 home in Connecticut?

On $396,900, the median value of owner-occupied homes in Connecticut (Census ACS 2024), the transfer taxes come to $3,969 to $4,961.25: $2,976.75 of state conveyance tax, $992.25 to $1,984.50 of municipal conveyance tax (0.25% to 0.5% of the price). Every town charges a municipal tax of 0.25% of the whole price (Conn. Gen. Stat. 12-494(a)(2)); a targeted investment community or a town with a designated manufacturing plant may add up to another 0.25% (12-494(c)).

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What closing costs does Connecticut law set?

Connecticut has no official typical closing-cost total. By law the seller pays the conveyance tax (0.75% state plus 0.25% or 0.5% municipal, 1.25% state above $800,000), and recording a deed costs $70 for the first page.

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How is property tax calculated in Connecticut?

Connecticut property tax is set by each municipality: property is assessed at 70% of value (C.G.S. 12-62a) and multiplied by the local mill rate.

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What is the deadline to appeal a property tax assessment in Connecticut?

In Connecticut, file a written appeal with your town's Board of Assessment Appeals on or before February 20 (C.G.S. 12-111, 12-112), and if you disagree with the board, apply to Superior Court within two months of its notice.

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Do you need a real estate attorney to close in Connecticut?

Yes. Under Conn. Gen. Stat. 51-88a, no one may conduct a real estate closing in Connecticut unless admitted as an attorney in the state and in good standing. Violating this is a class D felony in the ordinary case.

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What must a home seller disclose in Connecticut?

A Connecticut seller of a one- to four-unit home must give the buyer a written residential condition report before the buyer signs a binder or contract (Conn. Gen. Stat. 20-327b). If the seller does not, the buyer gets a $500 credit at closing.

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How does foreclosure work in Connecticut?

Foreclosure in Connecticut is a court case: the lender sues and a judge orders either strict foreclosure or a foreclosure sale.

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What first-time home buyer programs does Connecticut offer?

In Connecticut, the Connecticut Housing Finance Authority (CHFA) pairs a below-market first mortgage with down payment help: a Time To Own forgivable loan of up to $25,000 or a DAP loan of up to $15,000. In Hartford, HouseHartford adds up to 20% of the price, capped at $40,000.

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How much tax when you sell a home in Connecticut?

The federal rule is the same in Connecticut as in every state: if you owned and lived in the home as your main home for at least 2 of the last 5 years, the first $250,000 of gain is excluded, $500,000 for a married couple filing jointly (Section 121, IRS Publication 523). Bought $400,000, sold $750,000: a single owner has $100,000 of taxable gain, $15,000 of federal tax at the 15% long-term rate; a couple filing jointly owes nothing. Connecticut income tax on the gain is not computed here.

Capital gains on a home sale

Connecticut guides

Hartford

Buying a home in Hartford, Connecticut

Professionals in Connecticut

All states · Federal guides