Typical Closing Costs for a Seller in Florida
What to Know Before You Sell
Selling a home in Florida? You’ll want to know exactly what it’s going to cost you at the closing table. As someone who’s been helping people buy and sell homes in Tampa for over 20 years, one of the most common questions I get is about the typical Florida seller closing costs.
And it’s a great question—because those costs can affect your bottom line in a big way.
In this post, I’m breaking it all down. Whether you’re listing a starter home or a luxury property anywhere in Tampa, understanding closing costs can help you plan better, negotiate stronger, and walk away with more in your pocket.
How Do You Know What Closing Costs Will Be?
Great question. The most reliable way to know your exact closing costs is to request a seller’s net sheet. This is something I provide every client I work with. It gives you a clear breakdown of your estimated costs and how much you’re likely to walk away with after the sale.
It’s tailored to your property, your price point, and your timeline—not just a generic estimate.
Your title company will also provide a closing disclosure before closing day. This document outlines every line item you’re responsible for, and I review it with you to make sure everything looks right.
What Fees Does a Seller Pay at Closing in Florida?
When you sell a home in Florida, there are several standard closing costs you can expect to pay. Very roughly speaking, these costs range from about 6% to 9% of your home’s final sale price. That range includes everything from agent commissions to taxes and administrative fees.
Here’s a basic breakdown of the typical seller closing costs in Florida—and if you have any questions, please don’t hesitate to contact me!
Real Estate Compensation
Compensation is and has always been negotiable in the State of Florida. It can be paid by the seller and/or the buyer to their respective agents involved in the transaction.
As your local Tampa real estate agent with decades of experience, I ensure my clients see the value in every percent they invest. My approach is personal, hands-on, and backed by deep market knowledge—especially when it comes to Tampa’s luxury neighborhoods, pocket listings, and hidden gems!
Title Insurance
In most parts of Florida, the seller pays for the owner’s title insurance policy, which protects the buyer against any issues with the property’s title.
The cost of title insurance is based on your home’s sale price. It’s handled by the title company and is typically built into the closing paperwork.
Title Search and Closing Services
The title company also handles the title search and closing coordination. These fees vary, but you can expect to pay a few hundred dollars or a percentage of the sale price if you’re including both the search and settlement fees.
Documentary Stamp Tax
Florida charges a documentary stamp tax on the deed when a property is transferred. It’s usually $0.70 per $100 of the home’s sale price (except in Miami-Dade County, where it’s a bit lower).
For example, if you sell your home for $500,000, that’s $3,500 in doc stamps. This is a standard cost and not negotiable—it goes straight to the Sunshine State.
HOA Fees and Estoppel Letter (if applicable)
If your home is part of a Homeowners’ Association, you may need to pay an HOA transfer fee (capped at $100 under Florida law) and obtain an estoppel letter. This letter confirms whether you’re up to date on your HOA dues.
Estoppel letters usually cost between $250 and $500, depending on your HOA.
Property Taxes
Florida property taxes are paid in arrears. That means you’ll owe your prorated property taxes portion of the current year’s taxes up to the day of closing.
The exact amount will depend on when you close and your property’s assessed value. Since these taxes are prorated, if you close halfway through the year, for example, you’ll owe for roughly six months.
Mortgage Payoff and Satisfaction Fees
If you still have a mortgage on your home, the payoff amount will be calculated and deducted from your proceeds at closing.
There may also be a mortgage satisfaction fee, typically between $75 and $125, which is paid to officially record that the mortgage has been paid off.
Miscellaneous Closing Fees
Depending on your situation, there might be a few small administrative fees charged by the title company or closing agent—and possibly attorney fees if you happened to use one for any reason (contract review, any disputes, etc.).
Administrative fees are usually minimal but should be reviewed in your closing disclosure ahead of time.
Optional: Home Warranty
While not required, I mention this because some sellers choose to offer a home warranty as a buyer incentive. Pricing varies, but these usually cover certain systems or appliances for a year after the sale.
If I believe a warranty will help you sell faster or for more, I’ll let you know.
What Is the Most a Seller Can Pay in Closing Costs?
There’s technically no legal limit to how much a seller can pay in closing costs—but in practice, most costs fall within that aforementioned 6% to 9% range.
That said, there are some limits when it comes to seller concessions—which is when a seller pays closing costs to help out the buyer.
Seller Concession Limits
Buyers sometimes ask for closing cost help, especially first-time buyers or those using low-down-payment loans. Seller concessions can be a helpful negotiating tool, but they’re regulated depending on the type of loan your buyer is using. Here’s how much you’re allowed to offer in seller-paid costs, depending on the loan.
Conventional Loans
- Down Payment Less Than 10%: Sellers can contribute up to 3% of the purchase price.
- Down Payment Between 10% and 25%: Sellers can contribute up to 6% of the purchase price.
- Down Payment of 25% or More: Sellers can contribute up to 9% of the purchase price.
- Investment Property: Sellers can contribute up to 2% of the purchase price.
FHA Loans
Seller concessions are capped at 6% regardless of the down payment. FHA loans are common among first-time buyers, so it’s not unusual for sellers to help out here—but only within limits.
VA Loans (for Veterans)
The VA allows sellers to pay up to 4% in concessions. This doesn’t include certain “customary” costs like title or doc stamps—so you can sometimes help more without hitting the cap.
USDA Loans
USDA loans also allow up to 6% in seller concessions. These are usually used in more rural or suburban areas, so they are less common in Tampa, but good to know if you’re selling a second home or property outside the city.
Offering concessions can help your home stand out in a competitive market, especially if the buyer is tight on cash. But we’ll weigh that carefully to make sure it doesn’t cut too deeply into your proceeds.
Interestingly, I’ve noticed that more and more sellers are offering concessions to attract buyers and expedite the closing process. A recent report from Florida Realtors highlighted that in Tampa, 43.1% of closed sales included a seller concession, a significant jump from 19.7% the previous year. This means that nearly half of the sellers in our market are now offering some form of incentive to buyers.
Can You Lower Your Seller Closing Costs?
Yes, there are a few ways to lower what you pay at closing. I always work with clients to ensure they feel confident about the value they’re getting.
- Shop for title services: You have the right to choose your title company, and prices can vary. I have great local partners, but we’ll always look at options.
- Limit concessions: If you don’t need to offer help with closing costs, or if you’re in a hot market, we can often be strategic about them.
- Time your sale: Selling earlier in the year can reduce your property tax proration, especially if you’ve already paid your taxes for the prior year.
Selling a Home Shouldn’t Come With Fine Print
Before You List, Let’s Walk Through All the Costs
Whether you’re downsizing, relocating, or cashing out equity in real estate, I’m here to help you with every detail so there are no surprise closing costs at the signing table. I’ll walk you through each cost of your real estate transaction and make sure we structure your deal in a way that makes the most sense for your goals.
If you’re thinking about selling in Tampa—or just want a clear breakdown of what your net proceeds could look like—I’d love to help! Give me a call at 813-240-6563 to get started, or drop me a line. I’m always happy to chat about anything and everything Tampa!