City Council on Monday night unanimously adopted an ordinance to increase the city’s transfer tax to $17.50 per $1,000 of sales price (1.75%), subject to voter approval at the November 3, 2026 election. This is a one-time tax that occurs when a home is sold and would go into effect on July 1, 2027 should voters approve the measure.
The city says new revenue would be directed toward ongoing facilities and infrastructure maintenance. The Budget Advisory and Financial Planning Committee (BAFPC) had recommended in May that the City Council consider increasing the current rate from $13.00 per $1,000 of sales price (1.3%) to a range between $15.00 and $18.00 per $1,000 of sales price (1.5% to 1.8%).
At the current rate of $13.00 per $1,000 of sales price, the transfer tax revenue is budgeted at $4.2 million. The table below shows additional revenue annually for the various options. Assuming the last 10-year average market activity and a flat rate structure, an increase in the Transfer Tax rate could generate approximately $677,000 to $2.4 million in additional revenues per year.
Piedmont’s current transfer tax of 1.3% is lower than neighboring cities:
When applied to the average home sales price, Piedmont’s current Transfer Tax rate is lower than the neighboring cities of Albany, Berkeley, Emeryville and Oakland. An increase in the tax rate to levels still below or on par with these neighboring cities would provide additional funding for facilities maintenance while affecting a minimal number of residents, as the tax is a one-time tax levied on a property at the time of sale. In Alameda County, city transfer taxes are typically split between the buyer and seller, but individual buyers and sellers are free to negotiate any arrangement they choose.
July 20, 2026 Piedmont City Council Agenda Report
Council formally approves ballot language and placement on November ballot
After making minor modifications to the proposed ballot text, the Council unanimously approved the placement of the transfer tax measure on the November ballot:
Shall the measure, providing funding for City of Piedmont’s essential city services, such as police, fire, and emergency medical response, and maintenance of aging City buildings, parks, stormwater drains, roads and sidewalks, by increasing the real estate transfer tax from 1.3% to 1.75% to be more in line with neighboring cities and to generate approximately $1,500,000 annually in general tax revenue until ended by voters, be adopted?
Measure materials must be submitted to the Alameda County Registrar of Voters no later than August 7, 2026.