Real Estate Seller Closing Costs in Massachusetts
If you’ve been thinking about selling your home or condo in MA, you’ve more than likely heard the term, “closing costs.”
Sounds like a vaguely mysterious black box, and maybe a little ominous too, right? Obviously, no one likes paying these, but at least we can spell out what it is that you are paying for, and roughly how much.
All costs are approximate. These costs are different for sellers and buyers. They will vary somewhat by the price of the property, the municipality, the law firms involved, and type of property.
Seller closing costs
I. GOVERNMENT FEES AND TAXES
- Excise/Deed Stamp: The seller pays $4.56 per thousand of the sale price to the state.
- Mortgage discharge recording: $105. if you have a mortgage.
- Mortgage discharge tracking fee: $50-$150+- depending on the lender. For services rendered by the lender/closing attorney to ensure that your loan is properly paid and recorded within a few days of your closing
- 6(d) recording: $105: The 6(d) is a document procured from the homeowners association (if a condo) to ascertain that all regular and special assessments have been paid. If the association is professionally-managed, the management company may charge you for documentpreparation.
- Town/city smoke/CO detector certification. $50 in Boston, more in some other places. There may be additional charges relating to services rendered in procuring this certificate. May appear as a reimbursable charge to your broker if they have already paid for it.
- Final water reading: $25 for a one to 3 family structure in Boston. May be more in some other cities or towns. May appear as a reimbursable charge to your broker if they have already paid for it.
II. PROFESSIONAL FEES
- Broker fee: As per agreement. Generally 5% of the sales price.
- Attorney fee: $750-$2,000+-. Usually a flat fee, depending upon the complexity of the transaction.
III. MISCELLANEOUS
- Wire and courier fees: $125+-
APPROXIMATE CLOSING COSTS SUMMARY:
Based upon a $1m sale.You will be prorated back any unused condo fees and taxes. Your outstanding mortgage balance will be deducted from your proceeds. If you are in a condo that is in a professionally managed building, your management company may charge for documents such as a filled out condo-questionnaire and procuring a 6(d), which certifies that you have paid all outstanding fees and assessments. If you use oil heat in a single family or a separately-fueled condo, you may receive a credit for unused fuel in the tank.
- Excise/deed stamp (based on a $1m selling price): $4,560+
- Mortgage discharge recording fee: $105+-
- Mortgage discharge tracking fee: $100+-
- 6(d) recording fee for condos: $105+-
- Town/city smoke/CO detector certificate: $50+-
- Final water reading for individually metered units/homes: $25
- Attorney fee: Per agreement
- Broker fee: Per agreement
- Wire/courier fees: $125+-
For more information on how I can help you maximize your net proceeds, please cantact me at 617.584.9790 or joe.wolvek@sothebysrealty.com
