Avoid Post Sale Shock
How much typical closing cost are when selling a house is a hard figure to determine, as there are far to many factors under consideration.
As this is a website for people selling their houses for sale by owner, you hopefully won't have to pay one of the largest, if not the largest, of the expenses.
Looking for something else concerning the closing or moving? Just click on one of the thumbnail navigation photos below.
That BIG payout of course is the Realtor fee.
If you sold your house this way and lets say it sold for $275,000.00 and you paid a commission of 5% of the selling price.
You would have a $13,750.00 plus any applicable taxes bill to deduct when you met with your real estate attorney.
You would already be down to $261,250.00 and all you did was pay the commission!
Of course if you have been following the advice on this website, you sold without a real estate agent and only spent say, $1,000.00 leaving you with $274,000.00. Already you are up $12,750.00!
I say this for a reason. Picture having an extra $12,750.00 in your bank account after the sale. See yourself rolling in $100.00 bills. What would you do with that extra cash?
The second BIG payout might be a mortgage payout. This could be $0.00 or it could be say another $12,000.00! Yikes!
If you haven't sold your house yet, or perhaps haven't even placed your property for sale, you can go to Mortgage Help Here
If you have a mortgage on the property you are selling, Always, Always, Always check out the consequences of paying out that mortgage early, before proceeding to sell.
Now that we have the BIG TWO of your typical closing cost out of the way, lets move on to some other information concerning these seller closing costs.
Not Always Black and White
The first thing to realize, is that typical closing cost are anything but typical. As you have seen above, if you sell by owner, you can cut out commissions.
If you use a mortgage broker you can possibly save even more. Don't know the value or have never used a mortgage broker? Want to learn more? Just proceed to What is a Mortgage Broker to find out more.
Another thing that many people don't realize, is that you can also negotiate who pays for what portion when the property changes hands.
If you need to have a survey done on the property you are selling, you can pay for that, or write in your offer that the buyer will pay.
Will they? I don't know, but it can be done if the buyer agrees.
You could actually write in a counter offer the buyer will pay your house closing costs! Will they? Probably not, but it could happen.
You see, if two or more parties all agree, sign and have witnessed an agreement of purchase and sale and the contract is legal and binding, the choices are many. This again makes trying to give a typical closing cost difficult.
So what are some of the seller's typical closing cost? Let's make a partial list.
Any amounts listed below are very rough estimates and may vary greatly due to your own circumstances and where the property you are selling is located.
Please keep in mind that these average closing costs on a house for a seller, may or may not be applicable in your area.
Although this page talks about typical closing cost, or average closing costs, there really is no such thing.
Each contract is written different. Each individual property is different. Each country, state, province and territory may have different rules and regulations. Costs will vary. Fees will vary.
I'm going to be nice to the real estate lawyers now. :-) I found quite often after a seller or a buyer had been to their respective lawyers, they quite often only looked at one figure. How much was the total adjustments.
They may see a figure of $3500.00 and say; "Wow, my &%^$# lawyer charged me $3500.00!" Please look closer. Somewhere , when you break it down, you will see the actual fee the lawyer charged for his or her service. It will usually be far less than that total figure.
For More Information about Closing the Sale
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An Unsolicited Testimony
Good morning. First of all, I’d like to thank you for the help you’ve been offering me through your website.
It’s been quite useful and I’ve listed my home myself in part because of the information you’ve provided.