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Real Estate Glossary

What is Tap Fees?

Tap fees, also known as connection fees, are charges that are assessed to property owners by a local utility company when they connect to the utility's system. These fees can include costs for connecting to water and sewer services, as well as charges for the installation of electrical, gas, and other services. Tap fees are typically based on the size of the property and the amount of services that are needed. They are often paid as a one-time fee at the time of connection, but can also be financed as part of the mortgage.