What Are the Closing Costs Involved During a Home Sale in Illinois?

What Are the Closing Costs Involved During a Home Sale in Illinois?
sell house fast in Illinois

Closing costs in a home sale are expenses incurred during the final stages of a real estate transaction. These costs include various expenses and fees related to handing over property ownership from the seller to the buyer. Understanding and accounting for these closing costs is crucial for sellers when trying to sell a house fast in Illinois, as it directly impacts their net proceeds from the sale and ensures a smooth and successful transaction. Here is an overview of closing costs you’ll have to pay when selling a house in Illinois.

1. Title Fees

To identify any potential title problems, such as encumbrances or liens, the title company will conduct a title search and proceed with title transfer if there aren’t any issues. For this purpose, the title company charges a fee called a title fee, and this is usually 0.35 % of the sale price.

2. Transfer Tax            

A transfer tax is a charge levied by a municipality, county, or state on any change in real estate ownership. Illinois imposes a state transfer tax on the seller, calculated based on the property’s final sale price. Sellers usually pay the transfer tax in Illinois, which accounts for up to 0.10 % of the selling price. 

3. Recording Fees

The deed and other legal documents must be recorded with the county when the sale is finalized. This process incurs a fee and is generally the responsibility of the seller. The cost varies depending on the county and is usually included in attorney’s fees. 

4Property Tax

You’ll still be responsible for paying property taxes in Illinois when you own the house. The seller will make a prorated payment for the period they have occupied the property since the start of the current tax year. Property tax varies in Illinois depending on your county.

5. Home Inspection Fee

A home inspection typically costs $200 to $400, based on the home inspector’s location and expertise. The cost can also increase depending on the size of the house. Conducting an accurate inspection and creating an in-depth report on a larger home takes longer. As a result, more extensive home inspections are more expensive. Most home inspectors will also charge an additional service fee if your home is older than a certain age. Older homes have more potential issues, which will take time to inspect and record in the inspection report thoroughly. 

6. Real Estate Agent’s Fees

Your real estate agent’s commission is one of the highest closing costs when selling your home and can cost you about 6 % of the sale price. If you sell your property for $800,000, the real estate agent will charge $48,000 for their services. Alternatively, you can sell your house directly to a cash home buyer in Illinois and avoid paying commissions or closing costs.

Regardless of how well-prepared you are, selling a home in Illinois can involve a few unexpected costs. You might have to pay out-of-pocket expenses like Home Owners Association (HOA) dues, mortgage payoff, or prepayment penalties. Also consider property appraisal fees (average $260), settlement or attorney fees (average $268), and home staging costs ($745 to $2,659 on average).

If you are thinking, “How can I sell my house fast in Illinois to a genuine cash home buyer to avoid hefty real estate agent’s commissions and closing costs?” contact USA Cash Offer today! We will connect you with trustworthy companies that advertise, “We buy houses in Illinois for cash.” They are ready to purchase your home as-is for top dollar at a convenient closing date.

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