The Real Cost of Selling a Home in the Houston Suburbs: What to Expect

Thinking about selling your home? You’re probably focused on setting the right price, staging it for buyers, and maybe even dreaming about your next move. But before you put that “For Sale” sign in the yard, it’s important to understand what costs you’ll need to cover as a seller.

While selling a home means cashing in on your investment, there are some expenses along the way that can impact your final profit. From closing costs to title fees and commissions, these are all things to consider before you make your next move.

Let’s break it down so you know exactly what to expect and can plan ahead for a smooth and successful sale.

Understanding Your Net Proceeds

Before we get into the specific costs, let’s talk about net proceeds—the amount you actually walk away with after everything is paid for. It’s easy to assume that you’ll pocket the full sale price, but in reality, there are a few deductions along the way.

Why It’s Important to Get a Net Sheet

A net sheet is a handy breakdown of what you’ll take home after all the fees and costs are subtracted. Your real estate agent or title company can provide one based on your estimated sale price and expenses. Having this in advance helps set realistic expectations and avoids any last-minute surprises.

How Your Closing Date Affects Your Proceeds

Some costs—like property taxes and HOA fees—are prorated based on your closing date. That means the time of year you sell can slightly impact your bottom line. For example, if you sell in the middle of the year, you’ll pay property taxes for the months you owned the home, and the buyer will cover the rest.

Pro-Rated Fees: What You Pay Up to Closing Day

Property Taxes

In Texas, property taxes can include fees for municipal utility districts (MUDs), levee improvement districts (LIDs), and public improvement districts (PIDs), among others. Since property taxes aren’t paid monthly, they are prorated at closing based on how long you’ve owned the home that year. If you’ve overpaid, you may get a refund. If you’ve underpaid, you’ll owe the balance.

HOA Fees

If your neighborhood has a homeowners association (HOA), you’ll also need to pay prorated dues. Some HOAs charge resale certificate fees, which provide the buyer with details about the HOA’s financial health, bylaws, and any outstanding dues on the property.

Title Insurance & Title Search Fees

What is Title Insurance?

Title insurance protects the buyer and lender from ownership disputes or unpaid claims against the property. In Texas, the cost is regulated by the state, so pricing is fairly consistent regardless of where you sell.

Title Search Costs

Before your home officially changes hands, a title search ensures there are no outstanding liens, unpaid debts, or ownership disputes tied to the property. This process typically costs around $550 or more, depending on the property and location.

Recording Fees & Attorney Fees

Recording Fees

The county clerk’s office charges a fee to officially record the property’s transfer in public records. This typically runs around $750, but can vary slightly depending on location.

Attorney Fees

Some title companies bring in an attorney to review documents, especially if there are complexities with the sale. These fees typically range between $200-$275.

Realtor Commissions: What to Know

How Much Are Realtor Commissions?

In Texas, realtor commissions are negotiable, but typically range between 5-6% of the home’s sale price. This fee is usually split between the listing agent and the buyer’s agent.

Why Hiring the Right Agent Matters

Since you’re paying for expertise, it’s important to work with an experienced agent who knows the market, can price your home correctly, and will market it effectively. Not all agents offer the same level of service, so be sure to ask about their strategy for selling homes in your area.

Paying Off Your Mortgage & Prepayment Penalties

Mortgage Payoff

If you still have a mortgage, your remaining balance will be deducted from your proceeds at closing. Your lender will provide a final payoff statement, which includes any accrued interest up to the closing date.

Prepayment Penalties

Some loans include prepayment penalties if you pay off your mortgage early. Check with your lender to see if this applies to you.

Negotiable Costs & Seller Concessions

Common Seller Concessions

During negotiations, buyers may request that the seller cover some of their closing costs. These can include:

• Buyer’s closing costs

• Purchasing a new property survey

• Providing a home warranty

While these aren’t required, offering concessions can make your home more attractive to buyers, especially in a competitive market. Your real estate agent can help you decide if and when to offer them.

Other Potential Costs to Consider

Home Repairs & Pre-Sale Fixes

If your home needs repairs, it may be worth addressing them before listing to avoid buyer concerns. Common pre-sale costs include:

• Minor repairs (paint, fixtures, landscaping)

• Pre-listing home inspection

• Staging to improve marketability

Moving Costs

Once your home sells, don’t forget about moving expenses! Whether you’re hiring a professional service, renting a moving truck, or handling everything yourself, these costs can add up quickly.

Final Thoughts: How to Maximize Your Proceeds

Selling a home comes with costs, but knowing what to expect can help you plan ahead and avoid surprises. The key is working with a knowledgeable agent, understanding where your money is going, and making smart financial decisions along the way.

Thinking about selling? Get a free home value estimate and expert advice from a trusted real estate professional. Contact me today!