What does it cost to sell a home in Connecticut? - Reid Real Estate Group
August 28, 2017

What does it cost to sell a home in Connecticut?

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Wondering what costs you'll face as a home seller in CT? You won't walk away from closing with a check for the full purchase price! Read this quick guide to help you understand all your closing costs, and most importantly what you get to keep!

Seller's closing costs in a Connecticut home sale:

There are several costs involved in selling your CT home, which will all come out of the proceeds of the sale. I usually tell my clients they can expect to pay about 7-8% of the purchase price to costs of the sale: 
 

CONNECTICUT SELLER SIDE CLOSING COSTS:

 

Realtor commissions: 

While real estate commissions are always negotiable, for these purposes I will use an example of 6% commissions. That includes compensation to the listing agent, and the listing agent pays a portion of this to the cooperating broker ( the buyers agent ) .

Conveyance taxes: 

In any real estate sale in CT (excluding some short sales and foreclosure sales) the state charges a fee for conveying property. This fee is .75%  (3/4 of 1%) of any sale up to $800,000 after which the fee jumps to 1.25%. The town you live in will also charge their own conveyance tax of .25% (for most towns – a few charge more – 1.25%). Conveyance taxes usually total is 1-1.25%.

Legal fees: 

Your closing attorney will also charge a fee. This is usually $500-$1,000 or more depending on the complexity of the transaction.

OTHER POSSIBLE SELLER COSTS:

Seller concessions: 

Often, buyers will ask for sellers to pay for some of their closing costs or there will be repair credits issued. These can vary widely.

Prorations: 

Sellers will usually either be credited for real estate taxes paid, or at times they may be be debited for real estate taxes not yet paid but due at the time of closing. Usually some adjustments will be made for heating fuels left behind or prepaid expenses such as refuse disposal services.

Wire, courier, etc: 

There may also some other smaller administrative fees involved which can vary slightly.

 
An example:
John and Mary sell their Southington, CT home for $200,000. John and Mary paid off the home years ago so there is no mortgage to pay off. There are no seller concessions and the sale closes on June 31, so no real estate taxes need to be accounted for.
 
Purchase Price: $200,000
  • Realtor Commissions: -$12,000
  • Conveyance taxes to town and state: – $2,000
  • Legal fees: – $1,000
Net proceeds: $185,000
 
John and Mary walk away from closing with a check for $185,000.

Minna Reid

Minna Reid is The Broker - Owner of Reid Real Estate Group. Reid Real Estate Group is a full-service Connecticut residential real estate brokerage, specializing in helping homeowners with legal and financial challenges including short sales, probate sales and tax lien complications.

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