THE FINAL FEES FORMULA (SELLER’S CLOSTING COSTS)

Let’s tackle a topic that most Realtors try to skirt around: The seller’s closing costs. (Insert dramatic music here!)

Why is talking about numbers so difficult? Because… this is where the Realtor’s commission comes to fruition.

True confidence lies in communication, & true professionalism lies in the delivery. If a Realtor is confident that what they provide is nothing but exceptional service – then they should be able to speak confidently to the commission charged & what they do to earn that fee.

It took me a long time to be able to confidently speak about my commission without getting a little shaky at the topic. However, the conversation is MUCH easier the longer I’m in the business, the more services I offer my sellers & the more statistics & testimonials I can offer prospective clients to put some more proof in my pudding.

Commission is just one line item in a seller’s closing costs. Some costs are negotiable, others are not. Some are based on a percentage & others are a flat fee.

NEGOTIABLE/OPTIONAL CLOSING COSTS:
There are several fees that are not standard or, not required at all. A savvy seller will work with their Realtor to find which menu items should be included in the listing:

Listing Commission:
This is probably the most obvious one. A Realtor’s professional fee is typically a percentage of the sales price. It is negotiable at the time a seller is signing that listing contract. A seller’s goal is to find the Realtor that is the most VALUABLE – not the CHEAPEST. There’s a big difference, & I’ll need another show/blog to deep dive into this topic.

Buyer’s Commission:
In the olden days, a listing agent would negotiate 1 lump sum with the sellers to pay all of the commission for both Realtors in a transaction. Today, The Realtors’ commission in a transaction has been de-coupled, meaning, it’s considered as 2 separate fees rather than just one lump sum. This is great news for sellers.

Although it’s very likely that a buyer will ask a seller to contribute to their Realtor’s professional fee – it’s not automatically assumed to be paid by the seller. They can now negotiate this line item with an offer, giving them more financial control of their fees & putting more financial responsibility on the buyer.

Seller Assist:
Speaking of buyer financial responsibility… seller assist is something else that a buyer can request with their offer, but it’s not mandatory for the seller to gift any additional funds to the buyer. This usually shows up as a percentage, but it’s not uncommon for it to appear as a flat fee.

Perks/Incentives:
Adding perks like a home warranty is a great idea to not only help attract buyers & add some marketing benefits to the listing. Depending on the plan you include & if you’re offering additional coverage for things like a pool, well or appliances: you’re looking at a minimum of $500.

MANDATORY FLAT FEES:
These are just the cost of doing business & include things like the deed prep, municipal certifications, the brokerage fee, settlement fee, notary fee, tax certification… As I write this today in 2026, totaling these up with bring you to less than $2,000. A listing agent won’t be able to give you the exact penny because many of these fees are paid to the title company. It’s the buyer’s choice as to which title company is used, but you can have your own attorney prepare your deed. This may give you an extra $50-$100 if you feel that the title company is too expensive, & you want to shop around.

MANDATORY FEES BASED ON A PERCENTAGE:
The transfer tax is the big one here. If you want to trick a Realtor, ask them what the transfer tax amount is. This is kind of a trick question because:
1. It varies from area to area (especially in specific locations in Allegheny County!)
2. The transfer tax amount is split between the buyer & seller.

In most of Western Pennsylvania, the transfer tax is typically 2%. This means that the seller is responsible for 1% of the sales price.

CLOSING COST FORMULA:
When it comes to what you’ll net, you can expect to pay:

Sales Price
• % of Sales Price for Listing Agent Commission
• % of Sales Price for Buyer’s Agent Commission (if negotiated)
• % of Sales Price for Transfer Tax
• % of Sales Price/Flat Fee for Seller Assist (if negotiated)
• $2,000 in Estimated Flat Fees
• Flat Fees for Incentives (ex: Home Warranty)
• – ?? ??? (Mortgage Payoff)

Don’t forget your mortgage payoff or any equity lines of credit. That all gets paid at closing so that the house is transferred free & clear of any/all liens.

If your eyes are bugging out of your head from all of the subtracting you’re doing – this is where a Realtor’s experience is worth their weight in gold. They should be able to offer you options to help safeguard a seller’s bottom line. I have several ways that I do this, & I’m saving these tips for next time!

Katina Hunter
Team Lead for the Katina Hunter Team with Coldwell Banker
724-888-9020
Katina.Hunter@PittsburghMoves.com