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Seller Closing Costs

Southern California Sellers Closing Costs that the seller would pay at the close of escrow when they sell their home.  

When you selling your home or condominium in Southern California, there are several selling closing costs associated with the sale. And many different parties involved in each real estate transaction.

Seller Closing Costs Real Estate Transaction in California

  • Closing Costs for Home SellersThe Seller’s real estate agent, when representing you, is the listing agent. Their goal is to get you the highest and best price for your home in the shortest amount of time on the market.

  • The Buyer’s real estate agent, represents the buyer and seeks to assist the buyer to get the lowest price for the home

  • Escrow Company and Escrow Officer—an independent, neutral third party company that carries out the agreements that the buyer and seller made during the offer for real estate. They are a licensed, bonded and insured escrow/settlement agent. To learn more, go to “What is an Escrow Company”

  • Lender/Bank—if a loan is involved

  • Title Insurance Company —A company that issues insurance regarding the title of real property.   So, when the new owner takes purchases the home, the house is not encumbered with debts and issues that belong to the past seller or sellers.

 

What Are the Costs of Selling Your Home

  • Documentation Preparation Fee for transferring the deed
  • Escrow Fees – your escrow officer is the key to a smooth transaction. Since you are the seller, your listing agent, Jay Valento, should know several reliable escrow companies in your area to assist with the closing of the sale.
  • Notary Fees – usually runs about $10 to $25 or more depending on the document that needs to be notarized

  • Closing Costs - Real EstateLoan Fees – possible fees required by the buyer’s lender if the buyer buys with an FHA or VA loan. This amount can vary.

 

The buyer may ask the seller to pay for their closing costs in the purchase contract. Usually, the buyer asks for up to 3% of the purchase price for closing costs to be paid by the seller. You as the seller can negotiate this item.

  • Demand Fee – your bank that has your loan now may charge a fee for documents so your loan can be paid off through the sale in escrow.

  • Real Estate Commissions – a good agent can help you get the highest price that the market will bear for your home.

    The typical real estate commission is about 6% of the sales price. The commission is split between the buyer and the seller’s real estate companies. The fee is negotiable.

 

  • Termite Work – in California, there are two sections to the Termite Report; Section 1 covers the infestation of termites, and Section 2 covers future items that may happen. The best thing to do is get a termite inspection report of your home when you first get it listed for sale so you know what your costs will be.  However, you are under no obligation to do the termite work.  

  • Natural Hazard Disclosure Report discloses to the buyer if the property is in an earthquake zone, fire hazard, etc. You as the seller need to disclose this to the buyer. You can fill out the form yourself or have a third party company take the liability of it and create a report for the buyer.

    The cost is about $99 to $159.  I found a company called MyNHD.com or First American Natural Hazard Zone Disclosure Company to produce a good report. 

  • Environmental Disclosure Report discloses if your property has an oil well on it or had one in the past…along with other issues. 

  • Title Insurance — provides coverage for certain losses in the title prior to your ownership. It protects against claims resulting from various defects such as prior fraud or forgery that might go undetected until after closing. 

  • Tax Prorations – if any for unpaid taxes including any bonds or special assessments 

  • Any unpaid Homeowner’s Association (HOA) Dues (if a condo, town-home or your property is in a planned unit development). 

  • Home Warranty plans – after you have moved out, the home warranty company’s policy will covered service problems – offering you additional after-sale liability protection. They range from $350 to $700 or depending on what they cover.  We can review the different plans before you decide what to do. 

  • Any City Transfer or County Tax

  • Document Transfer Tax

At the end of the sale, you receive a closing statement that itemizes all of the expenses.

Typically, figure about 8% of the sales price for your seller closing costs with Realtor® commissions factored in when your are selling.

Video on Seller Closing Costs

Are You Ready to Sell Your Home?  If so, tell me more about it.

Southern California Seller Closing CostsIf You Sold Your Home at the Current Market Value, How Much Would You Net?

Simply fill out the information about your property and we will send you an estimate of what your closing costs would be in California along with the current market value of your home:

Seller Closing Costs

 

Thank you for giving us permission to contact you even if your name and number appear on the Federal Do Not Call List.  Your information will not be transferred to any third party companies without your permission.  If you have any questions, please call Jay Valento at 562-413-7655 of Fathom Realty Group.

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Jay Valento
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Call or Text:  562-413-7655

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Fathom Realty Group
Long Beach, CA 90815

DRE# 01159553, Licensed since 1993
B.S. Marketing, Cal State Long Beach

 

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Mission Viejo, CA 92120

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