Real estate & rental
Real Estate Net Proceeds Calculator
Works what a seller actually receives, where the payoff is more than the balance.
Result
An arithmetic tool, not financial or legal advice. Lending criteria, tax treatment and tenancy law all vary by state and change regularly. Confirm anything that affects a decision with a lender, an accountant or an attorney. Commission structures have been changing and are negotiable. Transfer taxes vary from nothing to several percent depending on state and county, and in some places the buyer pays them. Prorated property taxes and any HOA transfer fees are not modelled here.
Get a Free Business AuditHow the calculation works
Sale price less the loan payoff, less commissions and other compensation agreed, less transfer taxes and recording fees, less title and settlement charges, less prorated property taxes and any repair credits, gives the net proceeds. The payoff figure includes interest to the closing date and any prepayment or recording charges, so it exceeds the balance shown on a statement.
What moves the number
- Loan payoff including interest to the closing date.
- Compensation agreed with any brokers.
- Transfer taxes, which vary by state and locality.
- Prorations and any credits negotiated after inspection.
Where this one goes wrong
The statement balance is not the payoff: interest accrues to closing and there may be additional charges, so request an actual payoff quote rather than estimating. Repair credits negotiated after inspection are the other item that erodes an expected net, and they arrive late in the process when the seller has least room to respond. Compensation arrangements are negotiable and set by agreement, so the figures to use are the ones in your own agreements rather than any assumed rate.
Before you quote
- Request an actual payoff quote, not the statement balance.
- Use the compensation figures in your own agreements.
- Allow for repair credits that may be negotiated late.
Questions
About this calculator
Why is my loan payoff more than the balance?
Because interest accrues to the closing date and there may be recording or other charges. Request an actual payoff quote rather than estimating from a statement, since the difference is real money and it arrives at the worst moment to discover it.
What erodes net proceeds unexpectedly?
Repair credits negotiated after inspection, prorated taxes, and transfer taxes that vary by locality. The credits are the hardest to anticipate because they arrive late, when the seller has the least room to push back.
What compensation figures should I use?
The ones in your own agreements. Compensation in a real estate transaction is negotiable and set by agreement between the parties rather than following any standard rate, so any assumed percentage would be a guess about your own contract.
The formula
net proceeds = sale price - selling costs - mortgage payoff
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How to use this calculator
- Sale price ($). Enter your own figure; the page starts at $470,000.
- Total commission (%). Enter your own figure; the page starts at 5.5%.
- Mortgage payoff ($). Enter your own figure; the page starts at $268,000.
- Transfer tax and recording (%). Enter your own figure; the page starts at 0.8%.
- Title, escrow and attorney ($). Enter your own figure; the page starts at $2,400.
- Repairs and concessions ($). Enter your own figure; the page starts at $4,500.
The result updates as you type, so you can try a figure, see what it does to net proceeds, and change it back. Nothing you enter is sent anywhere or saved.
A worked example
These are the figures the calculator opens with. Every number in the results column below is produced by the same calculation the page runs, so you can follow it through before putting your own figures in.
What goes in
| Input | Value |
|---|---|
| Sale price | $470,000 |
| Total commission | 5.5% |
| Mortgage payoff | $268,000 |
| Transfer tax and recording | 0.8% |
| Title, escrow and attorney | $2,400 |
| Repairs and concessions | $4,500 |
| Staging, moving and everything else | $2,800 |
What comes out
| Result | Value |
|---|---|
| Net proceeds main result | $162,690 |
| Commission | $25,850 |
| Total selling costs | $39,310 |
| Costs as a share of price | 8.36% |
| Cost of each day on the market | $51.40 |
You walk away with $162,690. Selling costs total $39,310, which is 8.36% of the sale price, and commission is the largest single item at $25,850.
How sensitive the answer is
Holding everything else steady and changing only sale price, this is what happens to net proceeds. It is worth knowing which of your inputs the answer actually hinges on, and which barely move it.
| Sale price ($) | Net proceeds |
|---|---|
| $235,000 | -$57,505 |
| $352,500 | $52,593 |
| $470,000 example above | $162,690 |
| $705,000 | $382,885 |
| $940,000 | $603,080 |
Every other input is held at the example value while this one changes, which is not how a real job behaves. Treat it as a guide to which number matters most, not as five separate quotes.
What each figure means
- Sale price ($)
- A money amount, starting at $470,000.
- Total commission (%)
- A percentage, between 0 and 12, starting at 5.5%.
- Mortgage payoff ($)
- A money amount, starting at $268,000.
- Transfer tax and recording (%)
- A percentage, between 0 and 5, starting at 0.8%.
- Title, escrow and attorney ($)
- A money amount, starting at $2,400.
- Repairs and concessions ($)
- A money amount, starting at $4,500.
- Staging, moving and everything else ($)
- A money amount, starting at $2,800.
What the results tell you
| Result | What it is |
|---|---|
| Net proceeds | The headline result. A money figure. |
| Commission | A money figure. |
| Total selling costs | A money figure. |
| Costs as a share of price | A percentage. |
| Cost of each day on the market | A money figure. |
What is not in this number
Property figures here exclude the costs that decide whether a deal works: vacancy, maintenance, management, capital expenditure and the transaction costs at both ends. A return that looks strong before those frequently does not survive them.
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