Culver City Transfer Tax and Reports: What Sellers Need

In Culver City, a seller's first required step comes before escrow, inspections and even a signed purchase agreement. The city's municipal code says that before any agreement of sale, the owner must get a property report from the city. That report sets out the home's zoning and the occupancy its permits authorize. Once a buyer is in contract, the city's transfer tax applies. Above $1.5 million and up to $5.4 million, it costs more than the City of Los Angeles charges a few blocks away.

Both rules depend on which city the parcel sits in. The mailing address doesn't decide that.

The Report Comes Before the Contract

Culver City Municipal Code Chapter 15.08 is short. Section 15.08.015 reads:

"Before entering into an agreement of sale of any property, the owner or authorized representative shall obtain from the City a property report showing the authorized use, occupancy and zoning classification of such property."

The code defines "agreement of sale" as any written instrument providing for a transfer of title by sale, including an exchange. Its definition of "owner" covers any person, partnership, corporation or fiduciary with legal or equitable title. Executors and trustees selling an inherited Culver City home therefore fall under the same rule as any other owner.

Here is how the process runs on paper:

1. Apply. The owner or an authorized agent submits the Application for Report of Building Records through the city's Building Safety Division. The posted fee is $479.50 for residential property with fewer than four units and $640.25 for commercial.
2. Wait up to five working days. The code gives the city five working days from the request to prepare and deliver the report.
3. Clear the sewer question if it comes up. If the city has no record of a sewer connection, the applicant has to show proof of a sewer connection or septic system before the report is issued. That proof must come from a licensed plumber.
4. Deliver it to the buyer. The seller's side hands the report to the buyer, either when the agreement is signed or when the report arrives from the city. The code says "no sale shall be consummated" before delivery. The buyer signs a city receipt, and the receipt goes back to the Building Department.

There is one exemption. The chapter doesn't apply to the first sale of a property in a subdivision whose final map was approved and recorded no more than two years before that sale. Nearly every resale in the city needs a report.

The same Building Safety page also posts a "Smoke Detector Requirements for Resale" document and a bulletin on earthquake gas shutoff valves. Both are separate from the report itself. The city also advises having one point person handle the request, because "a report will be provided with every request."

What the Report Puts on Paper

Most of the reason to order the report early comes from what it contains. Under Section 15.08.020, it lists the zoning classification and the uses allowed in that zone. It also lists the authorized occupancy "as indicated and established by permits of record," any variances and conditional use permits, and any special restrictions on use or development.

The report doesn't certify the property's actual condition. The code's statement of intent says it is not a warranty or representation of any factual or legal matter. It reflects what city records say on the date the report is issued.

As a result, the buyer receives the city's official account of the property's authorized use. They get it at signing, or shortly after. If a converted garage, a back unit or an older addition doesn't appear in the permits of record, the buyer can see that the report doesn't reflect it. This is why sellers of older South and Central LA homes, especially inherited homes with decades of changes, benefit from reading the report before they set a price. They shouldn't first see it alongside a buyer.

The Transfer Tax Rises in Steps

The second Culver City rule is the real property transfer tax under Measure RE. Voters approved it with 51.89% on November 3, 2020, and it took effect April 1, 2021. It replaced a flat 0.45% tax with four brackets.

The city's transfer tax page describes these as marginal rates. A higher rate applies only to the part of the price above each threshold:

• 0.45% on amounts of $1,499,999 or less
• 1.5% on amounts from $1,500,000 to $2,999,999
• 3.0% on amounts from $3,000,000 to $9,999,999
• 4.0% on amounts of $10,000,000 and above

The city writes the second bracket as $6,750 plus 1.5% of the value over $1,500,000. A sale at $1.5 million and a sale at $1,499,999 owe almost the same amount. There is no sudden jump at the threshold. A July 2026 Pepperdine report prepared with Beacon Economics notes that this marginal design may reduce the incentive for prices to cluster just below a threshold.

The tax base has two details that differ from the county's. Culver City taxes the consideration or value conveyed including any liens or encumbrances that remain at the time of sale. The city points out that many jurisdictions exclude them. Los Angeles County's documentary transfer tax of $1.10 per $1,000 also applies, and the County Registrar-Recorder lists it as in addition to the city's tax.

The city's FAQ says either the buyer or the seller may pay the tax. If it goes unpaid, both are jointly and severally liable. In practice, who pays is a negotiated term of the deal.

Where Culver City Costs More Than LA, and Where It Costs Less

Across the city line, the City of Los Angeles charges a base transfer tax of 0.45%. Measure ULA adds to that, and for transactions closing after June 30, 2026, the Los Angeles Office of Finance lists ULA thresholds of $5,400,000 and $10,900,000. Above $5.4 million, a 4% ULA tax applies. At $10.9 million or more, the rate is 5.5%. Combined with the base tax, that's 4.45% and 5.95%. LA's table applies those combined rates to the full value conveyed, while Culver City charges each rate only on the slice above a threshold.

The two systems don't rank the same way at every price. The figures below are city tax only, calculated from each city's published formula. The county tax and any rounding are left out.

Up to $1.5 million, the two cities charge the same 0.45%. Above $1.5 million and up to $5.4 million, a Culver City seller or buyer pays more city transfer tax than someone selling at the same price in Los Angeles, and the difference grows with the price. Above $5.4 million, LA's ULA rate applies to the full price, and LA charges far more.

The $1.5 million line is close to the middle of the local market. In the 90 days ending October 11, 2026, Culver City MLS closings had a median sale price of $1,195,000 across 75 sales, according to one tally of closed records. A separate count of August 2026 closings put the median at $1,375,000 across 31 sales. Neither source breaks out how many sales closed above $1.5 million. Still, the first higher bracket begins only a few hundred thousand dollars above the typical recent sale. For comparison, C.A.R. reported Los Angeles County's August 2026 median for existing single-family homes at $946,950.

One detail in the schedule is still open. The city says the $1.5 million, $3 million and $10 million thresholds "will change every five years, based on the Consumer Price Index," and the rates stay fixed. Five years after the April 2021 start date would be around April 2026. As of this writing, though, the city's posted schedule still shows the original thresholds. Those posted figures are the ones to confirm with escrow before a closing statement is final.

Check the Parcel Before Relying on the Address

The city's application form for the building-records report carries this note: "Some LA addresses are in Culver City and some Culver City addresses are in LA." A "Culver City" mailing label doesn't settle whether Chapter 15.08 or Measure RE applies. The city line does. The city's maps page links to an interactive property-information map and publishes city-boundary GIS data for checking an individual parcel.

Getting this wrong works in both directions. A seller who assumes LA rules may not order the report before signing, and may underestimate the transfer tax on a $2 million sale. A seller who assumes Culver City rules for a property that is actually in LA will budget for the wrong tax schedule.

A Note for Investors and Builders

Measure RE makes an exception that matters for small multifamily projects. The first transfer of newly constructed multifamily housing is taxed at 0.45% on the entire value, whatever the price. Under the city's definition, the property must have four or more dwelling units. Accessory dwelling units count toward that number. At least one unit must have been newly built within five years of the transfer, with a net increase in units, and the sale must be the first transfer after the certificate of occupancy. Remodeling existing units doesn't qualify. The same 0.45% rate applies to 100% deed-restricted affordable housing transferred to a qualifying nonprofit-controlled owner.

The building-records application asks about these categories directly. Eligibility can be verified before the tax is paid, or claimed afterward as a refund with documentation. The city says any refund due is issued within 45 days of the request, after it verifies payment against the County Registrar-Recorder's monthly report.

FAQ

Does the report involve an inspection of the house? The code describes the report as a summary of what city records show about zoning, authorized occupancy and recorded approvals. It isn't a warranty about the property's actual condition.

Does an executor or trustee need to order the report? The chapter's definition of "owner" includes a fiduciary holding legal or equitable title. The requirement applies to estate and trust sales the same way it does to other sales.

Is the transfer tax only for residential sales? No. The city says it applies to all property sales, residential and commercial.

Keyholder Estates can confirm which city your parcel is in, order the report early enough for you to read it before pricing, and estimate the transfer tax at your expected sale price. Start with a Get Home Value request.

This article is general information, not legal, tax or financial advice. Consult a qualified professional about your situation.