Costs Related to the Sale of Your Home

When selling your home, several costs may be associated with the process. Understanding these expenses is crucial to avoid surprises at closing. Here are the costs, listed in order of their typical financial impact and importance:

• Mortgage Pay Off:
  The amount owed on your mortgage as of the closing date, paid from your proceeds.

• Commission:
  A percentage of the sale price paid to the real estate agents involved.

• Lines of Credit or Equity Lines:
  Any amounts owed on lines of credit, paid off and closed at closing.

• Unpaid Taxes/Liens:
  Any unpaid taxes or liens identified in the title work, paid at closing.

• Tax Prorations:
  Adjustments for property taxes to ensure the seller and buyer pay their respective portions.

• Special Assessments:
  For standard properties: Assessments for local government improvements, usually paid off at closing.
  For condos: Assessments for condominium association improvements or repairs, usually paid off at closing.

• Prepayment Penalty:
  A penalty for paying off your mortgage early, if applicable.

• Seller’s Settlement Fee:
  A fee for handling the settlement process.

• Surtax:
  Tax applicable if the property is a duplex, commercial, or multifamily.

• Municipal Lien Search:
  A search to identify any municipal liens against the property.

• Title Search:
  A search to verify the title's legal status and uncover any claims or liens.

• Documentary Stamp Tax:
  A tax on the transfer of real estate.

• Broker Only Commission:
  A fixed fee charged by the broker.

• Estoppel Fee:
  Fee for obtaining the estoppel certificate if the property is within an association.

• Recording Fees:
  Fees for recording the transaction documents with the county.

• Wire Fees:
  Fees for wiring funds related to the sale.

We always provide a Seller Net Sheet to outline the seller’s net proceeds after all expenses are deducted, giving you a clear estimate of your expected financial outcome at the closing table. This ensures you have a comprehensive understanding of what you will walk away with, helping you plan your next steps with confidence.