Closing costs are the expenses that Sellers and Buyers incur during the finalization of a real estate transaction. These can include fees for services such as appraisals, inspections, title insurance, and legal counsel. To get a free estimate on what you can expect for your cosing costs, try out our Seller’s Closing Cost Calculator

Typically, Sellers are responsible for costs such as real estate agent commissions, title insurance, transfer taxes, and prorated property taxes. Use our closing cost calculator for a more accurate summary of the cost.

Real estate agent commissions usually range between 5% and 6% of the home’s sale price, which is typically split between the Buyer’s and Seller’s agents but it is negotiable and you should discuss this directly with your real estate agent.

Title insurance protects the Buyer and their Lender from any disputes over the property’s ownership and liens that may affect the property.  As you can imagine, a Buyer would not purchase a property without insurance from the title company that the Seller is in fact the owner and can give clean title to them.  In Illinois, the Seller pays for the title insurance.

Transfer taxes are levied by state and local governments when property changes hands. The Seller typically pays these taxes, which can vary based on location and property value. Use our closing cost calculator for a more accurate summary of the costs.

Generally, the Buyer pays for their own home inspection. However, as a Seller, you might choose to conduct a pre-listing inspection to identify and address any potential issues ahead of time.

Prorated property taxes are the Seller’s portion of the annual property taxes, calculated from the beginning of the tax year up to the closing date. We pay our property taxes one year behind, so at closing the Seller will credit the Buyer for their portion of the property tax bill.

Other likely fees include your attorney fee, land survey fee, misc title company fees, and fees related to the local municipality or association.  Use our closing cost calculator for a more accurate summary of the costs.

Bradford Miller Law has developed a closing cost calculator that will help you estimate your closing costs and net proceeds amount. Click the link here, to find out what you can expect.

Closing costs are typically paid at the closing, when the sale is finalized. The funds are usually deducted from the proceeds of the home sale – that way you do not need to write a separate check or pay them in another fashion.