Home sale net proceeds calculator

What the number means

A seller's net sheet shows the cash you walk away with at closing, before any income tax. It begins with the sale price and subtracts every claim on it: the loans secured by the house, the people who are paid for the sale, and the credits you give the buyer. It is the number to look at before you decide what price to accept, because the price on the contract and the cheque you receive can be very different.

The formula

Net proceeds = sale price − mortgage payoff − other liens − listing agent fee − buyer's agent fee − title and closing fees − transfer tax − repairs and credits − concessions − other costs − property tax adjustment. Percent items are the percentage times the sale price. The property tax adjustment is the annual tax times the days you owned the home in the tax period divided by the days in the period; it is subtracted if the tax is unpaid and credited back (the buyer's share) if you already paid it.

Worked example

A house sells for $400,000 and the payoff is $240,000. The listing agent gets 3% ($12,000), the buyer's agent 2.5% ($10,000), the title company $3,500, the transfer tax is 0.5% ($2,000), and $2,500 of repairs are credited after the inspection. Selling costs total $30,000. With a March 15 closing and an unpaid $4,800 tax for the calendar year, the seller's share of tax is 73 of 365 days, $960.00. Net proceeds are $129,040, 32.3% of the price. A rough gain, using a $220,000 basis, is $152,500.

Common mistakes

The classic mistake is to subtract only the mortgage balance from your last statement. The payoff includes interest to the closing date and sometimes fees, so ask the lender for a payoff statement. Another is to forget the second loan, a HELOC or a lien that must be released at closing. A third is to assume the buyer's agent is automatically paid by the seller; since the August 2024 MLS rule changes the amount is negotiated. A fourth is to treat the net proceeds as profit: they are your cash, and the profit for tax purposes depends on what you paid and the improvements you made.

Limits of this method

No state tables are built in. Transfer taxes, recording fees and who pays them vary by state and county, so the transfer tax is a percentage you enter. The gain hint subtracts agent fees, closing fees and transfer tax from the price, adds nothing for repairs and credits, and ignores depreciation if part of the home was rented out or used for business, a case where Publication 523 has special rules. The exclusion of up to $250,000, or $500,000 for most joint filers, needs the 2-out-of-5-year ownership and use tests and the once-in-2-years limit (IRS Publication 523). Use the home sale exclusion calculator for the tax estimate.

How much money will I actually get when I sell my house?

Subtract everything that is paid out of the sale price at closing. The form's example: a $400,000 sale, a $240,000 mortgage payoff, 3% to the listing agent, 2.5% to the buyer's agent, $3,500 of title and closing fees, 0.5% transfer tax and $2,500 of repairs credited to the buyer. Commissions are $12,000 and $10,000, transfer tax $2,000, and property tax owed to the buyer for January 1 through March 15 is $960.00. Net proceeds: $129,040, or 32.3% of the price. All the percentages are example inputs, not typical rates.

What does the seller usually pay at closing?

Typically the mortgage and any other liens (a payoff statement from your lender shows the exact amount to the closing date), the agent commissions that the listing agreement says you will pay, title, escrow or attorney fees as your contract assigns them, any transfer or recording taxes your state or county charges the seller, repairs or credits agreed after the inspection, any concessions toward the buyer's costs, and the share of property tax for the days you owned the home. Who pays what is a matter of the contract and local custom, so the calculator leaves every amount for you to enter.

Who pays the buyer's agent now?

Since August 17, 2024, rules that came out of the National Association of Realtors settlement no longer allow an offer of compensation to a buyer's agent to be posted on the MLS, and buyers' agents work under a written agreement that sets their pay. In practice the amount is negotiated: a seller can still agree to pay some or all of it, or offer the buyer a concession instead. That is why the calculator has a separate field for the buyer's agent instead of a fixed total commission.

How is property tax split between buyer and seller?

By days. The seller owns the home from the start of the tax period up to the closing date, the buyer from closing on (some contracts count the closing day for the seller, so check yours). With $4,800 of annual tax, a calendar-year period and a March 15 closing, the seller's part is 73 of 365 days, or $960.00. If the tax has not been paid yet, the seller credits the buyer with that amount, which reduces net proceeds. If you have already paid the whole year, the buyer reimburses you for the remaining 292 days, $3,840.00, which increases it. Tax periods differ by county (some are fiscal years, some are paid in arrears), so enter the real period.

Will I owe tax on the profit from the sale?

Possibly not. Under Section 121 and IRS Publication 523, you can exclude up to $250,000 of gain on the sale of your main home ($500,000 for most married couples filing jointly) if you owned it and used it as your main home for at least 2 of the 5 years before the sale, and you have not used the exclusion on another sale in the 2 years before. The optional basis field gives a rough gain: price minus selling costs minus what you paid and the cost of improvements. With a basis of $220,000 the example gain is $152,500, which is within the $250,000 exclusion if you qualify. Use the home sale exclusion calculator for a full estimate; this page is only a hint.

What if I owe more than the house sells for?

Then the net proceeds are negative: you would need to bring cash to closing, or agree a short sale with the lender, which is a different process with its own tax effects. Example: a $200,000 sale with a $210,000 payoff is short by $10,000 before any selling costs. The calculator shows the negative result as a warning, not a plan.

How can I increase my net proceeds?

The two largest controllable items are usually the commissions and the repair credits. In the form, lowering both agent fees from 3% and 2.5% to 2% each, a hypothetical change you would have to negotiate, raises the net from $129,040 to $135,040. Compare that against what a higher-priced listing or a faster sale is worth, and note that a lower commission is not always a better deal, since services differ.

An estimate for planning only — not tax, legal or real estate advice; your contract, closing disclosure and tax return decide. Sources, checked October 27, 2026: IRS Publication 523, Selling Your Home (the $250,000 and $500,000 exclusion and the ownership, use and once-in-2-years tests); National Association of Realtors settlement changes effective August 17, 2024 (MLS offers of compensation to buyer's agents). Related: the home sale exclusion calculator (tax), closing cost calculator (the buyer's side), capital gains tax calculator, mortgage calculator and rent vs. buy calculator. How we check our calculators.