In Washington, sellers customarily pay the real estate excise tax (REET), the owner's title insurance policy and their share of escrow fees. Buyers pay lender fees, the lender's title policy, their share of escrow, recording fees, prepaid interest and initial deposits for property taxes and homeowners insurance. The 2026 state REET is graduated: 1.10% up to $525,000, 1.28% from $525,000 to $1,525,000, 2.75% from $1,525,000 to $3,025,000 and 3.00% above that, plus local REET of up to 0.50%.
2026 Washington REET tiers (state portion)
| Portion of sale price | Rate |
|---|---|
| $0 – $525,000 | 1.10% |
| $525,000.01 – $1,525,000 | 1.28% |
| $1,525,000.01 – $3,025,000 | 2.75% |
| Over $3,025,000 | 3.00% |
Local REET adds 0.25% to 0.50% depending on the city or county. These tiers apply through December 31, 2026; the thresholds adjust January 1, 2027.
Worked example: $750,000 sale
- First $525,000 × 1.10% = $5,775
- Next $225,000 × 1.28% = $2,880
- State REET = $8,655
- Local REET at 0.50% = $3,750
- Total REET = $12,405, customarily paid by the seller
Typical buyer closing costs
- Lender fees (origination, underwriting) and any discount points you choose
- Appraisal and credit report
- Lender's title insurance policy and your share of escrow fees
- Recording fees
- Prepaid interest from closing to month-end
- Initial escrow deposits for property tax and homeowners insurance
Ways to reduce what you bring to closing
- Seller credits, within each program's limit
- Lender credits in exchange for a slightly higher rate
- Down payment assistance such as WSHFC programs
Your Loan Estimate itemizes every cost within three business days of application, so you can compare offers line by line.
Common questions
Does the buyer pay excise tax in Washington?
No. The seller customarily pays REET. If a seller fails to pay, the buyer can be held liable, which is why escrow collects it at closing.
How much is REET on a $1,000,000 home in Washington?
State REET is $5,775 on the first $525,000 plus $6,080 on the next $475,000 (1.28%), for $11,855. Local REET of up to 0.50% adds up to $5,000.