San Leandro City Transfer Tax: Rates, Exemptions, and Filing

The San Leandro city transfer tax is $11 for every $1,000 of the sale price, and it applies on top of the Alameda County documentary transfer tax of $1.10 per $1,000. The combined rate inside San Leandro comes to $12.10 per $1,000 of value. On an $800,000 sale, that works out to $8,800 to the city and $880 to the county, for $9,680 total at closing.¹²

How the Tax Is Calculated

Chapter 2-3 of the San Leandro Municipal Code imposes the tax on every deed or similar document that transfers real property in the city when the consideration is more than $100. The rate is $11 per $1,000, and any fractional part of $1,000 counts as a full $1,000. So an $815,500 sale rounds to $816,000 and produces a city tax of $8,976.¹

“Consideration” under the city code is broader than the cash the buyer brings to the table. It includes any existing debt that stays secured by the property after the sale, such as an assumed mortgage, and any new loan placed on the property to finance the purchase. The tax applies to the full transaction value, not just the down payment.¹

The Alameda County Layer on Top

Alameda County levies its own documentary transfer tax at $1.10 per $1,000 of value, stated in the county’s materials as $0.55 per $500 or fractional part of $500. The county calculates its tax on consideration that excludes any liens or encumbrances remaining on the property at the time of sale, while the city taxes the full value including those liens.² For a straightforward sale, both are applied to the same price. In less common deal structures where the stated consideration and the surviving liens pull apart, the two bases can produce different numbers.

California Revenue and Taxation Code Section 11911 authorizes the county tax and permits cities to impose their own.³ Both layers show up as separate line items on the settlement statement.

Who Writes the Check

The city code defines the taxpayer as any person who makes, signs, or issues the transfer document, or anyone for whose benefit the document is created.¹ That language reaches both the buyer and the seller, so who actually pays is a matter of contract. Local custom in Alameda County leans toward the buyer, but it varies. Pin the split down in the purchase agreement, because if the tax goes unpaid, the city can look to either party.

Transfers That Are Exempt

Chapter 2-3 lists specific transfers that are not taxed. The exemptions track California’s state-level documentary transfer tax exemptions closely but are written into the city’s own ordinance.¹

A deed of trust or mortgage given to secure a debt.
Transfers where the United States, a state, or a political subdivision is acquiring title.
Conveyances carrying out a confirmed federal bankruptcy plan, if made within five years of confirmation.
Conveyances required by a Securities and Exchange Commission order under the Public Utility Holding Company Act.
Transfers of partnership interests where the partnership holding the real estate continues to exist under Internal Revenue Code Section 708 and continues to hold the property.
Deeds given to a lender in lieu of foreclosure.
Transfers that divide community or quasi-community property between spouses under a dissolution judgment, legal separation, nullity, or written separation agreement.
Transfers to a state or political subdivision where the buyer agrees to immediately reconvey to the exempt government agency.
Properties with recorded deed restrictions preserving historic character.

One exemption people often assume applies is not spelled out in the city’s list: transfers into a revocable living trust. Under the California Revenue and Taxation Code, transfers between a trustor and a trust they control are typically exempt from the county documentary transfer tax, but San Leandro’s ordinance does not mirror the state list on every point. Before assuming the city tax is off the table on a trust transfer, confirm with the San Leandro Finance Department that your specific transfer qualifies.

To claim any exemption, the basis has to appear on the face of the recorded document. If the deed doesn’t clearly state why the transfer is exempt, the recorder’s office will apply the standard rate.

What Happens If You Pay Late

The tax is due when the deed is delivered and becomes delinquent if it isn’t paid at the time of recording. From there the penalties stack:¹

A 10% penalty on the unpaid tax accrues immediately once the tax becomes delinquent.
Another 10% accrues if the tax remains unpaid 90 days after the original delinquency date.
Interest of one-half of 1% per month, or any fraction of a month, accrues on the unpaid tax from the date of delinquency until it is paid, calculated on the base tax only.

All accrued interest and penalties become part of the tax itself. An $8,800 city tax that sits unpaid for 90 days would run roughly $10,692: the $8,800 base, two $880 penalties, and about $132 in interest. Partial payments trigger penalties only on the unpaid portion, but ignoring a balance can nearly double the cost within a few months.

The Affidavit and Recording

Every taxable transfer requires a completed City of San Leandro Real Property Transfer Tax Affidavit. The form captures the Assessor’s Parcel Number, the grantor and grantee names exactly as they appear on the deed, and the total consideration. If the transfer is exempt, the affidavit calls for the specific exemption code under either the San Leandro Municipal Code or the California Revenue and Taxation Code. The form is available through the City of San Leandro Finance Department or your title company, and most escrow officers handle it as part of standard closing paperwork.

Although the city collects the transfer tax, the Alameda County Clerk-Recorder processes the actual recording. Both the city and county transfer taxes are due when the deed is presented, and the county will not record a deed for property inside San Leandro without evidence that the transfer tax has been paid or that a valid exemption has been claimed.²

Expect recording fees on top of the taxes. California’s Building Homes and Jobs Act (SB 2) adds a $75 fee per title on recorded documents, and additional per-page charges apply for nonstandard page sizes or missing cover sheet information.

Federal Income Tax Treatment

Transfer taxes are not deductible as an itemized expense on your federal return. They do affect basis. Buyers can include transfer taxes they pay as part of the cost basis of the property, which reduces the taxable gain when the property is eventually sold.⁴ For sellers, transfer taxes paid at closing are treated as a cost of sale and reduce net proceeds, which similarly reduces the taxable gain. Keep the settlement statement that itemizes the transfer tax for as long as you own the property and for at least three years after you sell it.

1
City of San Leandro, CA. San Leandro Municipal Code – Chapter 2-3 Real Property Transfer Tax
2
Alameda County Auditor-Controller/Clerk-Recorder. Real Property Sales and Transfers – Transfer Tax
3
California Legislative Information. California Code Revenue and Taxation Code 11911
4
Internal Revenue Service. IRS Publication 551 – Basis of Assets