Selling your home: Calculating Expenses & Costs

Here is a list of some typical costs associated with selling a home:

Legal fees and disbursements

When you’re involved in a financial transaction as big as this, you want to be protected. Your real estate lawyer will ensure that the buyer has made good on all terms outlined in the offer to purchase, and that you have met your legal obligations so that the deal may close. Legal fees vary widely, and the total cost depends on the extent of services provided. You will also be responsible for disbursements (any costs related to handling your file, such as long distance calls and travel).

Utility and property tax adjustments

This might not be a cost for you, depending on how your property tax and utility bill payments are scheduled. If you prepay these expenses, then you can expect the buyer to refund you the difference by closing day. If, however, you don’t pay these expenses in advance, it will be you paying the buyer for the amount accrued prior to possession date. The exact amount will be calculated by your real estate lawyer.

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