Sources, verification and open questions
What's solid
- County documentary transfer tax: $1.10 per $1,000 ($0.55 per $500 or fraction), per Rev. & Tax. Code §11911. SD County Assessor/Recorder. Customarily paid by the seller in San Diego County.
- City of San Diego: no separate add-on rate found from an official source. The City shares in the $1.10 county figure rather than charging on top of it, so the city field defaults to $0. Third-party calculators listing 0.275% to 0.55% for the city look wrong, but confirm with your escrow officer. Cities with their own transfer tax elsewhere in California can be much higher, so check if the property sits in a different city.
- Property tax ~1.22% of the new assessed value as a typical San Diego default (1% Prop 13 base plus voter-approved bonds). Tax rate areas run about 1.05% to 1.25%, and Mello-Roos/CFD parcels can run higher. Property Tax Almanac. Expect a supplemental bill based on your purchase price.
- Flip profit is taxed as ordinary income at the federal level (10% to 37%), and a regular flipper is usually treated as a dealer (adds 15.3% self-employment tax, no 1031). California has no capital gains rate; top bracket 13.3%, plus 1% over $1M. Real Estate Skills, 2026, Taxstra. Confirm with your CPA.
What's a range or an estimate
- Lender program defaults come from a hard money lender's own fix-and-flip sheet: experience tiers of 80% / 80% / 85% / 90% of purchase, 100% of rehab, 75% of ARV, $250K to $10MM loans, 12-month term, interest-only, first position, no prepayment penalty, extension option. The lender notes the tier splits are placeholders, and the 10% rate and 1.5 points are for math only. Confirm current terms with your lender.
- Published hard money terms: San Diego hard money programs generally advertise 70% to 75% of completion value, up to about 93% loan-to-cost, 6 to 18 month terms, and interest-only payments. Third-party lender listings show rates of 7.99% to 12% and 1 to 4 points. Lender processing and draw fees are left out of this model; add them to closing costs if your lender charges them.
- Commissions: Clever's Feb 2026 survey of San Diego agents averaged 5.47% total (2.73% listing, 2.74% buyer side). Clever. Redfin data put SD buyer-agent pay at 2.2% in mid-2024 (Axios). The default is 3.5% combined, editable per deal.
- Rehab $/sq ft: SD contractor guides for 2026 put cosmetic work around $60 to $110/sq ft and a mid-range kitchen and bath gut at $130 to $220/sq ft. Remade Home, XLNC. These are marketing pages. Use your contractor's bid.
- Insurance: vacant/builder's risk quotes vary widely; one guide puts $190 to $375/mo on a $375K flip, and California investor premiums rose 25%+ over 2024 to 2025. FlipperForce, OfferMarket. Wildfire zones can be much more.
- Utilities: SDG&E's April 2026 alert puts a typical residential electric bill at $194/mo (400 kWh) at ~46¢/kWh. SDG&E. Construction use, water and trash push the default to $300.
- Escrow and title: San Diego custom is seller pays the owner's title policy, buyer pays the lender's policy, escrow split 50/50, all negotiable. Dollar figures vary by source; get a rate quote from your title rep.
Before you rely on it
FTB withholding. On a non-owner-occupied sale, escrow generally withholds 3⅓% of the sale price for the California FTB (or an elected rate on the gain) unless an exemption applies (Form 593). It's a credit against your tax, not an extra cost, but it ties up cash until you file. Shown below the profit for timing only.
Ballot and policy watch. A county proposal to raise the transfer tax to as much as $30.55 per $500 was reported as withdrawn in early 2026 (secondary sources only). A statewide measure on the November 3, 2026 ballot would cap new local transfer taxes. Neither changes today's $1.10 rate, but check after the election.
This is a planning tool, not a loan offer or tax advice. Get a current term sheet from your lender and plug in the real numbers.
