State Requirement

• As of 2006, according to the Federation of Tax Administrators, 35 states and the District of Columbia "... impose a tax on the transfer of real property located in the state."
  
  

Recording Requirement

• Taxes are paid and stamps are affixed to transfer documents prior to recording by a state official. An unstamped document, in most cases, cannot be recorded. For example, California requires that a documentary transfer tax be paid prior to the recording of any real property transfer for which a tax is required.
  
  

Amount of Tax

• The amount of tax paid for transfer stamps, usually a percentage of the value of the property being transferred, is set by the state in which the property is located. Stamps indicating the amount of tax paid are affixed to a deed or other document of transfer by the individual responsible for recording the document.