When it comes time to sell their home, the first question most owners ask is, how much is my home worth? But the second question most owners ask themselves is, “How much will I walk away with at closing?” Both of those numbers are, of course, critically important. I will help you understand the kinds of expenses you’ll have to cover, and we provide an Excel spreadsheet in the Homeowner Resources section of this web site to help you calculate your net proceeds.
However, the spreadsheet is not exactly self-explanatory, and for that reason, we put together a video that takes you through the spreadsheet, step by step, so you can calculate for yourself what your net proceeds will be upon the sale of your own home.
Watch the Video on Calculating your Cash Out
One thing that the spreadsheet (and video) do not cover is any tax you may owe on the sale of your home. Taxation is a complicated issue and we’re not accountants, so you’ll want to go over that with your CPA or tax preparer. However, many owner-occupants end up paying no capital gains tax whatsoever when they sell their homes, because of the Federal and State Home Sale Tax Exclusions. Also, many investors defer paying any tax upon sale using a 1031 tax deferred exchange.
Title and Escrow Fee Calculators
The spreadsheet and video discuss title and escrow fees – these fees vary from company to company, county to county, and will vary depending on transaction type (short sale, conventional resale, REO sale, etc.). Here are links to various rate calculators from popular title and escrow companies in northern California:
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