· By Juan Murray
Boston's Proposed Transfer Fee: Does It Affect Your Sale?
Boston's proposed transfer fee would let the city charge up to 2 percent on the part of a sale price above $2 million, paid by the seller. It is a proposal, not law. The Legislature would have to pass it and the Governor sign it, and as of early November 2026 the bill (H.5464) sits in the Joint Committee on Revenue with no further action recorded. Typical sale prices in Jamaica Plain, Roslindale, Hyde Park, Dorchester, and Roxbury are well under $2 million, so most sellers here would not owe it even if it passed.
Does Boston's proposed transfer fee affect your home sale?
Only if it passes and your sale price tops $2 million. If you're selling a triple-decker in Roxbury or a condo in Jamaica Plain, you may have seen headlines about this fee and wondered whether it touches your closing. For most sellers in these five neighborhoods, it doesn't, and it likely wouldn't even if it becomes law. A small number of high-priced sales are the exception. For a complete picture of seller closing costs, see how much you'll net from a Boston home sale. For the capital gains tax that applies regardless of this fee, see capital gains tax when selling a Massachusetts home.
Key Takeaways
- Boston's proposed transfer fee would allow up to 2 percent on the part of a sale price above $2 million, paid by the seller.
- It is not law: as of early November 2026, H.5464 sits in the Joint Committee on Revenue, where it was referred on May 28, 2026.
- Every all-type, single-family, and multi-family median in Jamaica Plain, Roslindale, Hyde Park, Dorchester, and Roxbury was below $2 million from September 2025 through August 2026.
- At the full 2 percent, a $2.5 million sale would owe the fee on $500,000, which is $10,000.
- The Massachusetts deed excise tax of $4.56 per $1,000 already applies to every sale and would stay in place either way.
What Is Boston's Proposed Transfer Fee?
It is a home rule petition, a request from the city for the Legislature's permission to charge a fee. The Boston City Council held a hearing on the petition in April 2026, and with the approval of the Mayor and City Council it was filed at the State House as House Bill 5464, "An Act relative to real estate transfer fees and senior property tax relief in the city of Boston." Under the bill text:
- The city could charge a fee of up to 2 percent, and the first $2,000,000 of the purchase price is exempt, so the fee applies only to the amount above $2 million.
- The fee is payable by the seller.
- Transfers between family members, transfers of convenience, and transfers to government bodies are exempt, and the city could add other exemptions by ordinance.
- Revenue would go to the city's Neighborhood Housing Trust for income-restricted housing and related programs.
- A separate section would expand Boston's senior property tax exemption (clause 41C) by raising the exemption amount and the income and asset limits.
This is not a new idea. Boston sent a similar petition to the State House in 2022, and earlier versions date back to 2019. None became law.
Does the Fee Become Law Automatically After Council Approval?
No. A home rule petition approved by the City Council does not create law on its own. Nothing changes unless the Legislature passes it and the Governor signs it. As of early November 2026, the Legislature's bill page shows H.5464 referred to the Joint Committee on Revenue on May 28, 2026, with no further action. If you're negotiating a sale or planning to list soon, you are working under current law, which does not include this fee.
Which Boston Neighborhoods Would Actually Feel This Fee?
MLS PIN sales data for September 2025 through August 2026 show how far typical prices in these neighborhoods sit from $2 million:
| Area | Median sale (all types) | Median single-family | Median multi-family |
|---|---|---|---|
| Jamaica Plain (02130) | $840,000 | $1,435,000 | $1,430,000 |
| Roslindale (02131) | $720,000 | $800,500 | $1,025,000 |
| Hyde Park (02136) | $672,500 | $661,000 | $943,750 |
| Dorchester (02121, 02122, 02124, 02125) | $751,250 | $765,000 | $1,200,000 |
| Roxbury (02119) | $700,500 | $665,000 | $1,030,000 |
Every median is below the $2 million exemption. Jamaica Plain has the highest single-family and multi-family medians of the five, so a seller there with a higher-end home is the most likely to be near the line. If your home could sell for more than $2 million, the proposal is worth tracking as you plan your pricing. For most sellers in these neighborhoods, it is not a planning factor.
How Would Multi-Family Sales Be Treated Under the Proposed Fee?
The bill does not set a separate rule for multi-family buildings. It measures the exemption against the purchase price of a transfer, so a two- or three-family sold as one property would presumably be measured on its total price. Based on the medians above, a typical multi-family sale in these neighborhoods falls well short of $2 million. If you own a larger building or are selling several properties together, ask your closing attorney how the final law, if one passes, would apply.
How Does the Proposed Fee Compare to Massachusetts' Existing Deed Excise Tax?
Massachusetts already charges a deed excise tax (commonly called MA tax stamps) of $4.56 per $1,000 of sale price on every sale. It is separate from Boston's proposed fee and would remain in place either way.
| Comparison | MA Deed Excise Tax | Boston's Proposed Transfer Fee |
|---|---|---|
| Legal status | In effect statewide | Pending; needs the Legislature and Governor |
| Rate | $4.56 per $1,000 of sale price | Up to 2% on the amount above $2 million |
| Applies to | Every sale (rate differs in Barnstable County) | Only Boston sales above $2 million, minus exemptions |
| Who pays | Seller, by custom | Seller, under the bill text |
FAQ
Is Boston's transfer fee currently in effect?
No. The fee cannot take effect unless the Massachusetts Legislature passes the home rule petition (H.5464) and the Governor signs it. As of early November 2026, the bill is in the Joint Committee on Revenue with no further action recorded.
How much would the proposed transfer fee cost a seller?
The bill allows a fee of up to 2 percent on the amount above $2 million. For example, at the full 2 percent, a home selling for $2.5 million would owe the fee on $500,000, which is $10,000.
Would a typical Jamaica Plain or Dorchester home sale be affected?
Unlikely. Median sale prices in Jamaica Plain, Roslindale, Hyde Park, Dorchester, and Roxbury, including for single-families and multi-families, were all below $2 million from September 2025 through August 2026.
Does the proposed fee apply to multi-family properties?
The bill doesn't set a separate rule for multi-family buildings; it measures the exemption against the purchase price of the transfer. Most multi-family sales in these neighborhoods sell well below $2 million.
Is this fee separate from the Massachusetts deed excise tax?
Yes. The state's deed excise tax of $4.56 per $1,000 already applies to every Massachusetts closing and would not change. The proposed fee would be in addition to it, only on the amount above $2 million, and only if it becomes law.
Has Boston tried to pass a transfer fee before?
Yes. Boston sent a similar petition to the Legislature in 2022, and earlier versions date back to 2019. None became law.
Where would the revenue from the fee go if it passes?
To Boston's Neighborhood Housing Trust for income-restricted housing and related programs. The bill also expands Boston's senior property tax exemption.
The bottom line: Boston's transfer fee is still a proposal, and even if it passes, it would apply only to the part of a sale price above $2 million.
Sources
- H.5464 bill page, Massachusetts Legislature: https://malegislature.gov/Bills/194/H5464
- H.5464 bill text: https://malegislature.gov/Bills/194/H5464/House/Bill/Text
- City of Boston, hearing notice for Docket #0163: https://www.boston.gov/node/16569701
- Dorchester Reporter, Wu passes real estate transfer tax over to Boston lawmakers (March 4, 2022): https://temp.dotnews.com/?p=61509
- M.G.L. c.64D §1 (deed excise): https://malegislature.gov/Laws/GeneralLaws/PartI/TitleIX/Chapter64D/Section1
- MLS Property Information Network (MLS PIN) via Repliers, September 2025 through August 2026
Have questions? Let's connect.
About Juan Murray
Juan Murray is a Boston broker associate with more than 30 years of experience helping buyers, sellers, and investors across Greater Boston, personally leading every transaction from the first conversation through closing.
RE/MAX Real Estate Center · (978) 581-0801
Equal Housing Opportunity. Juan Murray is licensed as a Broker in Massachusetts, regulated by the Massachusetts Board of Registration of Real Estate Brokers and Salespersons. This article is general information only and does not constitute legal, tax, or financial advice. Confirm your specific costs and obligations with your closing agent, tax advisor, or lender.
