HELOC Intangible Taxes Question MN

Non-investing personal finance issues including insurance, credit, real estate, taxes, employment and legal issues such as trusts and wills
Post Reply
Topic Author
Limoncello402
Posts: 148
Joined: Wed May 03, 2017 3:58 pm

HELOC Intangible Taxes Question MN

Post by Limoncello402 »

Wondering if anyone can help me out here. I'm applying for what I thought was a no-cost HELOC through Alliant. Super simple and user friendly website. But I got to the end only to be told that my state (county?) charges a whopping $600 of "intangible taxes" to get the loan amount I want. I'm new to the idea of intangible taxes and don't see anything on the county (Ramsey) website that says "intangible taxes." Any help?
This sadly makes me question whether I want to continue with a HELOC or not. I was planning on getting one as I move toward retirement, not to use anytime in the near future.
Thanks!
fabdog
Posts: 1353
Joined: Wed Jan 16, 2013 1:59 pm
Location: Williamsburg VA

Re: HELOC Intangible Taxes Question MN

Post by fabdog »

Appears it's a state thing... executed by the county. Known as the Mortgage registry tax

You likely had one on your original mortgage as well

see page 4 of the doc below for a summary... and more details in the document

https://www.leg.state.mn.us/docs/pre200 ... 020357.pdf

Mike
Gill
Posts: 6789
Joined: Sun Mar 04, 2007 8:38 pm
Location: Florida

Re: HELOC Intangible Taxes Question MN

Post by Gill »

Florida has the same tax on mortgages and HELOC's. The rate here is .35% rounded up to the nearest $100. Some banks will pay this on HELOC's but most won't.
Gill
Cost basis is redundant. One has a basis in an investment | One advises and gives advice | One should follow the principle of investing one's principal
Topic Author
Limoncello402
Posts: 148
Joined: Wed May 03, 2017 3:58 pm

Re: HELOC Intangible Taxes Question MN

Post by Limoncello402 »

Thank you! And thanks Mike for posting that information.
Ugh......
Post Reply