Home sale proceeds refer to the money a homeowner receives after selling a property, once all expenses and debts tied to the sale are deducted. While many sellers focus on the sale price, it's the net proceeds—what's left in your pocket after everything is paid—that truly matter. These funds can be used for a new home purchase, paying off debt, investing, or saving for the future.
Several costs reduce your final proceeds. The biggest deduction is often the outstanding mortgage balance, followed by agent commissions, which typically total 5% to 6% of the sale price. Additional expenses may include closing costs, repairs or concessions to the buyer, property taxes, and sometimes legal or escrow fees. Once these are subtracted from the selling price, the remainder is your net profit from the sale.
Understanding your estimated home sale proceeds is crucial when planning your next move. Sellers often use home sale proceeds calculators or consult with real estate agents or attorneys to get a clearer picture of what they'll walk away with. By preparing in advance and accounting for all potential deductions, you can avoid surprises and make informed financial decisions throughout the selling process.
Estimated Real Estate Commission:
Estimated Closing Costs:
Total Capital Gain (before tax):
Estimated Net Proceeds:
*Capital gains tax is not calculated here, consult a tax professional for exact figures.