Taxes when buying a house in Rhode Island

Rhode Island does not tax the buyer on a home purchase or on the mortgage. The transfer tax ($3.75 per $500 (0.75%), and 1.5% on the part above $824,000) is usually paid by the seller.

Purchase price

State

Down payment

Loan amount: $320,000. Some states tax the mortgage, so the loan size changes the result there. Paying cash? Enter 100.

Estimated taxes when you buyRhode Island · Rates verified November 2026

Pay to the order ofState and county tax offices$0

Zero and 00/100 dollars

Rhode Island does not tax the buyer on this purchase.

Taxes the buyer pays
Tax on the purchase	$0
Total buyer taxes	$0

Taxes only. Lender fees, title insurance, flat recording fees and prepaid property tax are separate closing costs.

What a Rhode Island home buyer is taxed on

Buyer's taxes: None on the purchase or the mortgage.
Transfer tax: The seller, unless the contract says otherwise.
Sales tax: None. A home is real estate, and sales tax does not apply to it.
Official source: Rhode Island Division of Taxation, Advisory 2026-02
Last verified: November 2026

On Block Island the buyer pays a 3% land trust fee, and Little Compton charges the buyer a fee above an exempt amount. These are not in the calculator.

Rhode Island buyer taxes at common prices

Purchase price	Loan with 20% down	Buyer's taxes
$150,000	$120,000	$0
$250,000	$200,000	$0
$400,000	$320,000	$0
$600,000	$480,000	$0
$1,000,000	$800,000	$0

Questions Rhode Island buyers ask

Do buyers pay transfer tax in Rhode Island?

The seller, unless the contract says otherwise.

Is there a mortgage tax in Rhode Island?

No. Rhode Island does not tax the recording of a mortgage. The county charges only a flat fee to record it.

Is there sales tax when you buy a house in Rhode Island?

No. Sales tax applies to goods and some services, and a house is real estate, which no state taxes that way.

How much tax does a buyer pay at closing in Rhode Island?

Usually none. On a $400,000 home a Rhode Island buyer owes no state or local tax on the purchase itself. Closing costs still include lender fees, title insurance and prepaid property tax.

Selling in Rhode Island? Use the Rhode Island transfer tax calculator.