Skip to content

Washington · TitleWashington private transfer fees: void since April 13, 2011, and the notice for older ones

A private transfer fee obligation recorded or entered into in Washington on or after April 13, 2011, doesn't run with the title, isn't binding on or enforceable against any later owner, purchaser, mortgagee or holder of an interest, and is void. One recorded or entered into before that date isn't presumed valid; it is judged under ordinary real estate and servitude law – restraints on alienation, the rule against perpetuities, the touch-and-concern doctrine, fraud and public policy (RCW 64.60.020). Anyone who records or enters into an agreement imposing one in its own favor after April 13, 2011, is liable for resulting damages, including any fee paid, and for reasonable attorneys' fees and costs of recovering it or of a quiet title action; an agent's principal is liable, not the agent (RCW 64.60.030). For an obligation imposed before April 13, 2011, the payee had to record in the county auditor's office, by December 31, 2011, a separate "Notice of Private Transfer Fee Obligation" with the amount or formula, the expiration, the payee's name and address, an acknowledged signature and the legal description (RCW 64.60.040).

What the statute sets

  1. Void (RCW 64.60.020(1))

    Recorded or entered into on or after April 13, 2011: void; doesn't bind later owners or mortgagees.

  2. Older obligations (RCW 64.60.020(2))

    Not presumed valid; judged under ordinary real estate and servitude law.

  3. Liability (RCW 64.60.030)

    Damages, the fee paid, and reasonable attorneys' fees; the principal, not the agent.

  4. Notice (RCW 64.60.040)

    Older obligations needed a recorded notice by December 31, 2011.

What the TC does with a transfer fee covenant in Washington

  • Read the title commitment's exceptions for any transfer fee covenant or notice.
  • Ask the title company whether the statute makes it void and what it needs to insure over it.
  • Don't put the fee on the settlement statement until the title company confirms it is owed.

Questions about private transfer fees in Washington

Is a Washington private transfer fee enforceable?

Not if recorded or entered into on or after April 13, 2011 – it is void (RCW 64.60.020(1)); an older one isn't presumed valid (RCW 64.60.020(2)).

Who pays if someone collected a void transfer fee?

The person who imposed the obligation in its own favor is liable for the fee paid, other damages and reasonable attorneys' fees (RCW 64.60.030).

Track each title exception and the title company's decision as tasks in ClosingCode.

Start free trial

Source: RCW 64.60.020, 64.60.030, 64.60.040 (app.leg.wa.gov), read October 30, 2026.

General information, not legal advice. ClosingCode is software; it is not a law firm or brokerage. This guide is not a substitute for the advice or services of an attorney.