Seller Closing Costs - What Are They & How Much Do They Cost?

As a seller, there are costs/fees associated with selling your home. A common questions I get from my seller clients is “what are my closing costs as a seller and how much do they cost?” Below is a simple breakdown of what costs are associated with selling your property and an estimated amount to budget for upon closing day.

1. Transfer Tax
   When selling your home, there is state, county, and sometimes city transfer tax depending on where you live. Refer to your REALTOR® for more information regarding what the transfer tax in your area would entail.

2. HOA Fees
   If you live in a subdivision with an HOA (Homeowners Association), you as the seller are typically responsible for paying HOA transfer fees are a part of your closing costs. Typical HOA transfer fees are in the $200-$250 range

3. Attorney Fees
   Illinois is an attorney state, so you’ll have an attorney assisting in the sale of your property in addition to your REALTOR®. If you do not know of a Real Estate attorney, your REALTOR® will have various Real Estate attorney partners that you are able to use. Real Estate attorneys cost anywhere between $450-$500

4. Prorated Property Tax
   Prorated tax payments are based on the last tix bill prorated on the number of days in the year prior to the closing divided by 365.

5. Credits Towards Closing Costs and/or Inspection Remediation Costs (if applicable)
   If negotiated in the original offer, closing cost coverage will be paid for by the seller. Additionally, if any credits were agreed upon during the inspection period for any inspection remediations, those costs will be paid for by the seller as well.

6. REALTOR® Fees
   The seller pays the commission to their REALTOR® on the sale of their property. Typically between 5.5%-7% of the sale price