How do Washington’s 2027 REET changes affect Pierce County sellers?
On January 1, 2027, Washington raises the price thresholds for its graduated state real estate excise tax (REET): the 1.1% bracket will cover the first $551,000 instead of $525,000, the 1.28% bracket will run to $1,551,000, and the 2.75% bracket to $3,051,000, with 3.0% above that. For most Pierce County sales, that saves the seller only about $45–$50. Sales above roughly $1.525 million save more. REET is based on the date the deed is executed, so timing a closing just for REET rarely makes sense.
Every four years, Washington adjusts the price brackets for its state real estate excise tax. The next change takes effect January 1, 2027, and sellers are already asking me whether they should wait to close. For most people, the answer is no — here’s why.
If you’re new to REET, start with what REET is and how it works.
What’s changing
| State REET rate | Through Dec. 31, 2026 | Starting Jan. 1, 2027 |
|---|---|---|
| 1.1% | Up to $525,000 | Up to $551,000 |
| 1.28% | $525,000.01 to $1,525,000 | $551,000.01 to $1,551,000 |
| 2.75% | $1,525,000.01 to $3,025,000 | $1,551,000.01 to $3,051,000 |
| 3.0% | Above $3,025,000 | Above $3,051,000 |
Source: Washington State Department of Revenue. The rates stay the same; only the thresholds move up.
On top of the state tax, Puyallup, Sumner, Bonney Lake, and Orting each charge a 0.50% local REET on the full price. That doesn’t change with the new brackets.
What it saves you
| Sale price | State REET in 2026 | State REET in 2027 | Savings | Local REET (0.50%) |
|---|---|---|---|---|
| $550,000 | $6,095 | $6,050 | $45 | $2,750 |
| $600,000 | $6,735 | $6,688 | $47 | $3,000 |
| $800,000 | $9,295 | $9,248 | $47 | $4,000 |
| $1,200,000 | $14,415 | $14,368 | $47 | $6,000 |
| $1,600,000 | $20,638 | $20,208 | $430 | $8,000 |
Illustrative calculations. Confirm exact figures with your escrow company.
For a typical Pierce County home — the county’s residential median was $584,000 from August through October 2026 — the new brackets save the seller less than $50. Even at $1.6 million, the savings is a few hundred dollars.
Should you wait until January to close?
For almost everyone, no. Compare that $47 to what waiting can cost:
- Another month or two of mortgage, taxes, insurance, and utilities
- Holiday-season buyer traffic that you might miss — or a buyer who moves on
- Possible changes in rates or competition by the new year
- Coordination problems if you’re also buying your next home
If you already have a buyer and both sides happen to prefer a January closing for other reasons, the small savings is a nice bonus. Just don’t build your plan around it.
Timing details that matter
According to the Department of Revenue, the date of sale for REET purposes is the date the deed is executed and delivered — generally the date the deed is notarized — not the date your purchase agreement was signed. If you’re closing right around January 1, talk with your escrow officer about when documents will be signed.
What actually moves your net proceeds
REET is one of several costs that come out of your sale. Price, commission, concessions, repairs, and payoff matter far more. See our seller net proceeds estimate and hidden costs of selling in Pierce County, and the Pierce County home selling guide for the full process.
Frequently Asked Questions
What are the new REET thresholds in Washington for 2027?
Starting January 1, 2027, the state REET is 1.1% up to $551,000, 1.28% from $551,000.01 to $1,551,000, 2.75% from $1,551,000.01 to $3,051,000, and 3.0% above $3,051,000, according to the Washington Department of Revenue.
How much will I save on REET if I sell in 2027?
For most sales between about $551,000 and $1.5 million, the state REET savings is roughly $47. Sales below $551,000 save less, and sales above about $1.525 million save more.
What is the local REET in Puyallup, Sumner, Bonney Lake, and Orting?
Each charges a 0.50% local REET on the full sale price, in addition to the state graduated rate.
Does REET use the closing date or the contract date?
The Department of Revenue treats the date of sale as the date the deed is executed and delivered, generally when the deed is notarized — not the date the purchase agreement was signed.
The 2027 REET change is real, but it’s small for most sellers — your timing should follow your life and the market, not a $47 tax break. If you’re weighing a move, The Barnard Group’s complimentary Home Selling Strategy Session walks you through your home’s current value, your options, and a plan built around your timeline. You can book yours at barnardgroupre.com/sellit.
About Josh Barnard
Josh Barnard is the founder of The Barnard Group and has spent over 20 years helping families navigate some of life’s biggest moments through real estate. Known for his “Work Hard. Be Kind.” approach, Josh combines expert market knowledge, innovative marketing, and genuine care to help homeowners make confident decisions about their next chapter. Whether someone is buying their first home, moving up, downsizing, or relocating to Pierce County, his mission is simple: serve people well, create unforgettable experiences, and help families build a life they love.
Sources: Washington State Department of Revenue, Real Estate Excise Tax page (thresholds effective January 1, 2027) and Local REET rate schedule effective May 1, 2026. Market data: NWMLS InfoSparks. Not tax advice — confirm with your escrow officer or tax professional. Researched November 2, 2026.
