Home Sale Closing Costs: A breakdown

When selling a home, a seller might encounter various types of fees and costs. Here’s a comprehensive checklist with estimated costs or formulas:

Real Estate Agent Fees

1. Listing Agent Commission: Typically 2-3% of the sale price, often split between the listing agent and the buyer's agent. For a $300,000 home, this could be $6,000 - $9,000.
2. Buyer's Agent Commission: Typically 2.5-3% of the sale price, specific to the agent representing the buyer (if different). For a $300,000 home, this could be $7,500 - $9,000.

Closing Costs

1. Title Insurance: Around $1,000 - $4,000, depending on the sale price and location. This is based on many factors, including the state (or county) that the sale is taking place. Each state has different rules that apply to Title.
2. Escrow Fees: Typically $500 - $2,000, depending on the sale price and the escrow company. This is the fees associated with dispersing money to all those parties involved.
3. Attorney Fees: $500 - $1,500, if required (or preferred).
4. Recording Fees: $50 - $250, depending on the county. These are documentary fees associated with processing paperwork.
5. Transfer Taxes: Varies by location; can range from 0.01% to 2% of the sale price. For a $300,000 home, this could be $30 - $6,000.
6. Settlement Fees: $300 - $1,500, depending on the title company. This can also vary by state.

Home Preparation and Staging

1. Repairs and Maintenance: Varies widely based on the extent of repairs, from $500 for minor fixes to $10,000+ for major repairs.
2. Home Staging: $500 - $2,500 for professional staging.
3. Landscaping: $100 - $1,000, depending on the extent of work needed.

Pre-Sale Inspections and Reports

1. Home Inspection: $300 - $500.
2. Pest Inspection: $75 - $200.
3. Property Survey: $300 - $700.

Marketing and Advertising

1. Photography and Videography: $150 - $500 for professional services.
2. Online Listings: $50 - $200 for premium listings on real estate websites.
3. Open Houses: Minimal direct costs, though there might be indirect costs like refreshments, typically under $100.

Mortgage-Related Costs

1. Mortgage Payoff: The remaining balance on the mortgage, which varies based on the loan amount and repayment history.
2. Prepayment Penalties: If applicable, typically 1-2% of the remaining loan balance. For a $200,000 loan, this could be $2,000 - $4,000.

Other Potential Fees

1. HOA Fees: Prorated amount of the monthly fees; typically $100 - $500 per month.
2. Utilities: Varies based on usage; typically $100 - $300 per month until closing.
3. Moving Costs: $500 - $2,000, depending on distance and the amount of belongings.
4. Capital Gains Taxes: Varies; up to 20% of the gain for federal taxes, plus any applicable state taxes. Formula: (Sale Price - Purchase Price - Selling Costs - Improvements) * Capital Gains Tax Rate.
5. Concessions to Buyer: Negotiated costs, which can be a few hundred to several thousand dollars, depending on the agreement.