Selling a home isn’t free — between commissions, closing costs, repairs, and taxes, you’ll spend significantly more than most people expect. Here’s every cost broken down.
Total Cost to Sell: Quick Summary
| Cost Category | Percentage of Sale Price | On a $400K Home |
|---|---|---|
| Agent commissions | 5-6% | $20,000-$24,000 |
| Seller closing costs | 1-3% | $4,000-$12,000 |
| Pre-sale repairs/prep | 1-2% | $4,000-$8,000 |
| Staging | 0.25-0.5% | $1,000-$2,000 |
| Moving costs | — | $1,000-$5,000 |
| Total | 8-10% | $30,000-$51,000 |
Capital gains tax is additional if applicable.
Agent Commission Breakdown
After the 2024 NAR settlement, commission structures have shifted:
| Commission Model | Seller Pays | Buyer Agent | Total |
|---|---|---|---|
| Traditional (pre-2024) | 2.5-3% | 2.5-3% | 5-6% |
| Post-settlement (typical) | 2.5-3% | 0-3% (negotiable) | 2.5-6% |
| Flat-fee listing | $3,000-$5,000 | 0-3% | $3,000-$17,000 |
| FSBO (For Sale By Owner) | $0 | 0-3% | $0-$12,000 |
| Discount broker | 1-1.5% | 0-3% | 1-4.5% |
Commission by Home Price
| Sale Price | 5% Commission | 3% (seller only) | Flat Fee ($4,000) |
|---|---|---|---|
| $250,000 | $12,500 | $7,500 | $4,000 |
| $350,000 | $17,500 | $10,500 | $4,000 |
| $400,000 | $20,000 | $12,000 | $4,000 |
| $500,000 | $25,000 | $15,000 | $4,000 |
| $750,000 | $37,500 | $22,500 | $4,000 |
Seller Closing Costs
| Cost | Typical Amount |
|---|---|
| Title insurance (owner’s policy) | $1,000-$2,500 |
| Transfer tax / recording fees | $500-$5,000 |
| Attorney/settlement fees | $500-$1,500 |
| Prorated property taxes | Varies |
| HOA transfer fees | $200-$500 |
| Escrow fees | $500-$2,000 |
| Outstanding liens/payoffs | Varies |
| Wire transfer fee | $25-$50 |
| Total closing costs | $3,000-$12,000 |
Transfer Tax by State
| State | Transfer Tax Rate | On $400K Sale |
|---|---|---|
| Texas | None | $0 |
| Florida | $0.70 per $100 | $2,800 |
| California | $1.10 per $1,000 | $440 |
| New York | $4.00 per $1,000 | $1,600 |
| Pennsylvania | 1-2% (split) | $2,000-$4,000 |
| New Jersey | Variable (0.4-1%) | $1,600-$4,000 |
| Illinois | $0.50 per $500 | $400 |
Pre-Sale Preparation Costs
| Expense | Average Cost | Worth It? |
|---|---|---|
| Deep cleaning | $200-$500 | ✅ Always |
| Carpet cleaning/replacement | $500-$3,000 | ✅ Yes |
| Interior paint (neutral colors) | $1,500-$4,000 | ✅ Yes |
| Landscaping/curb appeal | $500-$2,000 | ✅ Yes |
| Minor repairs (fixtures, caulking) | $300-$1,000 | ✅ Yes |
| Pre-listing inspection | $300-$500 | ⚠️ Optional |
| Professional staging | $1,000-$3,000/month | ⚠️ In slow markets |
| Photography/videography | $200-$500 | ✅ Always |
| Major repairs (roof, HVAC, foundation) | $5,000-$20,000+ | Depends on buyer negotiations |
Mortgage Payoff Costs
| Item | Typical Cost |
|---|---|
| Remaining mortgage balance | Varies |
| Prepayment penalty (if applicable) | 0-2% of balance |
| Per diem interest (closing month) | $20-$60/day |
| Payoff statement fee | $25-$100 |
Capital Gains Tax on Home Sale
| Situation | Taxable? | Details |
|---|---|---|
| Lived in home 2+ of last 5 years | $250K excluded (single) / $500K (married) | Most sellers pay $0 |
| Gain under $250K/$500K exclusion | ❌ No tax | No reporting needed |
| Gain over exclusion | ✅ Taxed | 0%, 15%, or 20% capital gains rate |
| Owned less than 1 year | ✅ Short-term | Taxed as ordinary income (10-37%) |
| Lived in home less than 2 years | ✅ (partial exclusion may apply) | Prorated if due to job, health, or unforeseen |
| Rental/investment property | ✅ Fully taxed | No primary residence exclusion |
Capital Gains Tax Example
| Scenario | Purchase Price | Sale Price | Gain | Exclusion | Taxable Gain | Tax (15% rate) |
|---|---|---|---|---|---|---|
| Single, lived 3+ years | $250,000 | $450,000 | $200,000 | $250,000 | $0 | $0 |
| Married, lived 3+ years | $300,000 | $700,000 | $400,000 | $500,000 | $0 | $0 |
| Single, high appreciation | $200,000 | $550,000 | $350,000 | $250,000 | $100,000 | $15,000 |
| Investment property | $200,000 | $400,000 | $200,000 | $0 | $200,000 | $30,000 |
Net Proceeds: What You’ll Actually Keep
| Sale Price | Remaining Mortgage | Selling Costs (9%) | Net Proceeds |
|---|---|---|---|
| $300,000 | $180,000 | $27,000 | $93,000 |
| $400,000 | $240,000 | $36,000 | $124,000 |
| $500,000 | $300,000 | $45,000 | $155,000 |
| $600,000 | $350,000 | $54,000 | $196,000 |
| $750,000 | $400,000 | $67,500 | $282,500 |
Key Takeaways
- Expect to pay 8-10% of the sale price in total selling costs — $32K-$40K on a $400K home
- Agent commissions are the largest cost at 5-6%, though alternatives can reduce this significantly
- Pre-sale repairs and staging typically cost $5K-$10K but often help homes sell faster and for more
- Most homeowners pay $0 in capital gains tax thanks to the $250K/$500K exclusion
- Transfer taxes vary widely — from $0 in Texas to $4,000+ in NJ on a $400K sale
- See our average closing costs data for detailed breakdowns by state