Calculator Use
Selling a home in the Sunshine State involves various financial obligations that can impact your final take-home amount. Use this fl seller closing cost calculator to estimate your net proceeds after all commissions, taxes, and fees are settled. This tool helps homeowners plan for their next purchase or move by providing a realistic view of their home equity.
- Sale Price
- The total agreed-upon purchase price for the property.
- Broker Commission
- The total percentage paid to real estate agents (typically 5% to 6% in Florida).
- FL Doc Stamps
- Florida's transfer tax on the deed, calculated at $0.70 per $100 of the sale price ($0.60 in Miami-Dade).
- Mortgage Payoff
- The remaining balance on your current loan that must be paid at closing.
How It Works
In Florida, sellers are traditionally responsible for specific closing costs, though many are negotiable. The most significant non-negotiable cost is the Documentary Stamp Tax on the Deed. The formula used by our fl seller closing cost calculator follows standard industry practices:
Net Proceeds = Sale Price – (Commissions + Doc Stamps + Title Fees + Prorations + Loan Payoff)
- Commission: Calculated as [Sale Price] × [Commission %].
- Doc Stamps: In most FL counties, this is (Sale Price / 100) × 0.70. For example, a $300,000 home results in $2,100 in stamps.
- Title Insurance: While negotiable, sellers in many Florida counties typically pay for the Owner's Title Policy to ensure a clear transfer of title.
- Prorations: Florida property taxes are paid in arrears. Sellers owe taxes for the portion of the year they lived in the home.
Calculation Example
Example: A seller in Orlando is selling their home for $400,000 with a remaining mortgage of $250,000.
Step-by-step solution:
- Sale Price: $400,000
- Commission (6%): $24,000
- Doc Stamps (0.70%): $2,800
- Title & Settlement Fees: $1,200
- Tax Prorations: $1,000
- Mortgage Payoff: $250,000
- Total Deductions: $279,000
- Result (Net Proceeds): $121,000
Common Questions
Who pays for title insurance in Florida?
Customs vary by county. In counties like Orange, Pinellas, and Hillsborough, the seller often pays. In others, like Broward and Miami-Dade, the buyer typically pays. However, this is always negotiable in the contract.
What is the Florida Documentary Stamp Tax?
This is an excise tax levied on documents that transfer interest in Florida real property. It is essentially a transfer tax paid to the Florida Department of Revenue. Using a fl seller closing cost calculator ensures you don't overlook this significant expense.
How much should I budget for miscellaneous fees?
Sellers should typically budget between 1% and 3% of the sale price for closing costs, excluding the real estate commission. This covers recording fees, HOA estoppel fees, and courier charges.