Selling a home in Pennsylvania typically costs between 7 and 9 percent of the sale price, all-in, before mortgage payoff. On a $600,000 sale, that translates to roughly $42,000 to $54,000 in transaction costs, leaving approximately $546,000 to $558,000 before the remaining loan balance is satisfied.
The range is wide because two of the costs — commission and repair credits — are negotiated, not fixed. The breakdown below covers each line item separately so you can build a realistic net-proceeds estimate for your specific situation.
Pennsylvania Realty Transfer Tax
Pennsylvania levies a state realty transfer tax of 1 percent of the sale price. Most municipalities in Montgomery County, Bucks County, and the Main Line also levy a local realty transfer tax of 1 percent, bringing the total to 2 percent.
By convention, the 2 percent total is split equally between buyer and seller — each paying 1 percent. This split is negotiable but it is the standard in the Philadelphia suburbs market. On a $600,000 sale, the seller’s share is $6,000.
Philadelphia’s realty transfer tax is significantly higher (4.278 percent total) and the split convention differs. If you are selling in the city rather than the suburbs, the numbers change materially.
Real Estate Commission
Commission is the largest single seller cost and the most variable.
The commission structure in Pennsylvania changed in August 2024 following the NAR settlement. Sellers are no longer required to offer buyer’s agent compensation through the MLS — it is negotiated separately. In practice, most sellers in the Philadelphia suburbs continue to offer buyer’s agent compensation because it expands the buyer pool, but the amounts and structures vary by transaction.
A typical listing commission in this market runs 2.5 to 3 percent of the sale price for the listing side. Buyer’s agent compensation, where offered, is typically 2 to 2.5 percent. Total effective commission on most transactions in this market currently runs 4.5 to 5.5 percent.
On a $600,000 sale at 5 percent total commission: $30,000.
Settlement and Closing Fees
Settlement fees cover the title company’s services: deed preparation, title search, settlement coordination, notary fees, transfer tax stamps, and recording fees. These vary by title company and transaction complexity.
Budget $800 to $1,500 for settlement fees on a standard residential transaction. Complex transactions — estate sales, short sales, properties with title complications — may run higher.
Prorated Property Taxes
Pennsylvania property taxes are paid in arrears, meaning you pay this year’s taxes next year. At closing, the seller pays taxes from January 1 through the closing date, and the buyer takes responsibility from closing forward.
The proration amount depends on your municipality’s tax rate and how far into the year you close. In Montgomery County, annual property taxes on a $600,000 home typically run $6,000 to $10,000 depending on the municipality and school district. Closing in June means roughly half that amount comes out at settlement.
Repair Credits and Concessions
Buyers in the Philadelphia suburbs market routinely request credits after the home inspection. These are not a fixed cost — they are negotiated based on what the inspection reveals and the current balance of power between buyers and sellers in a given market.
In a balanced or buyer-favoring market, expect to address $3,000 to $10,000 in inspection items through credits, price adjustments, or pre-closing repairs. In a strong seller’s market, buyers may waive inspection contingencies or accept the home with minimal negotiation.
The best way to reduce inspection-related surprises is a pre-listing walkthrough that identifies obvious deferred maintenance before buyers see it. Items that show up on an inspection report after an offer is accepted carry more negotiating weight than the same items disclosed upfront.
What Stays in Your Pocket: A Net-Proceeds Example
On a $600,000 sale in Montgomery County, closing mid-year:
| Cost | Estimate |
|---|---|
| Commission (5%) | $30,000 |
| Transfer tax (seller’s 1%) | $6,000 |
| Settlement fees | $1,200 |
| Property tax proration (6 months) | $4,000 |
| Repair credits | $5,000 |
| Total transaction costs | $46,200 |
| Net before mortgage payoff | $553,800 |
The remaining mortgage balance comes out of that net figure at closing. What is left is your actual proceeds.
These numbers shift with commission structure, the specific municipality’s tax rate, and what your inspection produces. A precise net-proceeds estimate requires your actual numbers — not a spreadsheet formula.
Timing Affects Your Net Proceeds Too — and the Sell-vs-Buy Sequence
The month you close affects the property tax proration and, more significantly, the final sale price. Homes sold during the spring selling window — late February through mid-May — consistently achieve higher sale prices than comparable homes listed outside that window.
For a full look at how timing affects both price and speed, the guide to the best time to sell a home in the Philadelphia suburbs covers the seasonal patterns in detail. Sellers who know their net proceeds can then address the related question of whether to sell before buying or buy first — net proceeds determine buying power, which determines which financing approach makes sense.
Working with Karen
A comparative market analysis from Karen includes a net-proceeds estimate built from your specific address, your municipality’s tax rate, and current commission structures — not a generic calculator. It is one of the first documents she prepares for every seller conversation.
Karen Langsfeld is a REALTOR® and Pricing Strategy Advisor (P.S.A.) with Berkshire Hathaway HomeServices Fox & Roach in Blue Bell. She covers communities across Montgomery County, Bucks County, the Main Line, and South Jersey.
Request a free home valuation or contact Karen directly at (215) 495-2914.