Skip to content
Meredith Sherwood
Call 806-781-7464
Costs

What selling actually costs in Texas

No borrowed percentage from an unnamed study. Every line, with where the number came from, added up.

  • TREC License No. 0832882
  • Keller Williams Dallas Metro North
  • Seller-side specialist
  • Denton & Tarrant County

Last updated September 21, 2026 · Written by Meredith Sherwood, TREC License No. 0832882

Most pages answering this quote a single percentage from an unnamed study. There is no authoritative published figure for what Texas sellers pay, so this guide does it the honest way instead: every line, with its source, added up.

The short answer

For a typical Texas resale where the seller pays the owner’s title policy and contributes toward the buyer’s agent, expect roughly 5.5% to 6.5% of the sale price in actual fees. Add the property tax proration — which is not a fee, but does come out of your proceeds — and the total reduction is commonly in the 7% to 8% range.

The single largest variable is not on that list as a fixed cost, because it is not fixed: whether and how much you contribute toward the buyer’s agent. On a $500,000 sale that one line is worth around $12,500, and since August 2024 it has been genuinely negotiable rather than customary.

Every line, itemised

Line item Typical Who customarily pays in Texas
Listing brokerage compensation Negotiated — see the fees guide Seller, per the listing agreement
Contribution toward the buyer’s broker 0% – 3%, optional since 2024 Negotiated, no longer automatic
Owner’s title policy 0.52% – 0.57% of price Seller by custom in DFW — a checkbox, not a rule
Escrow / closing fee A few hundred dollars Split 50/50 by default on the TREC form
Survey Often avoided entirely Usually seller furnishes the existing one
HOA resale certificate Capped at $375 by statute Seller, if that box is checked
HOA transfer fees above the contract cap Variable Seller pays the excess — see below
Deed prep, lien release, tax certificate Roughly $230 – $575 Seller
County recording fees Roughly $30 – $75 in Denton County Seller
Attorney fee $0 in a normal sale Texas closings are handled by title companies
Property tax proration Often the second-largest line Seller credits buyer — not a fee

Each of these is broken down properly, with sources, in the itemised closing costs guide.

A worked example: $500,000 sale in Denton County

Assumptions stated openly, because they are the whole ballgame: the seller pays the owner’s title policy per local custom, contributes 2.5% toward the buyer’s broker, the home is in an HOA, and the seller furnishes an existing survey rather than buying a new one.

Line Amount
Listing brokerage compensation at 2.75% $13,750
Contribution to the buyer’s broker at 2.5% $12,500
Owner’s title policy on $500,000 $2,756
Escrow fee, seller’s half ~$400
HOA resale certificate up to $375
Deed prep, lien release, recording, tax certificate ~$500
Fees subtotal ≈ $30,281, about 6.1% of the sale price

The title premium there is not an estimate — it is the exact figure from the state’s promulgated rate schedule, which is explained below. The commission percentages are illustrative, because they are negotiated per transaction and there is no reliable Texas average to quote.

The line worth negotiating hardest

Take the buyer-broker contribution to zero and that same sale’s fee subtotal falls from about 6.1% to roughly 3.6% — a difference of $12,500. That is not a recommendation to offer nothing; what you contribute affects how your listing competes for buyers, and on a house that already failed once, competing well matters. But it is the largest genuinely negotiable number on the page, and it deserves a real conversation rather than a default.

Property taxes: the line nobody warns you about

This is the biggest surprise at a Texas closing table, and it is missing from most cost-to-sell articles because it is not technically a cost.

Texas property taxes are paid in arrears. The Texas Comptroller confirms the mechanics: a tax lien attaches to the property on January 1 each year, whoever owns it on January 1 is liable for that year’s taxes, bills go out starting in October, and payment is due by January 31 — of the following year.

So at any mid-year closing you have lived in the house for months of a tax year that nobody has paid and for which no bill yet exists. The standard TREC contract prorates taxes through the closing date, which in practice means you credit the buyer at closing for January 1 up to the day you close. They receive and pay the full bill the following January.

Texas has no state income tax and funds local government through property taxes that are high by national standards, which is exactly why this line lands harder here than in most states. On a mid-year closing it is frequently larger than title, escrow, survey and HOA costs combined. Get your actual tax rate and run the number before you list, so the settlement statement is not a shock.

Two further wrinkles from the same contract paragraph that sellers almost never anticipate:

  • Exemptions can change the maths. The proration may be calculated taking into account any change in exemptions affecting the current year. If you have held a homestead exemption the buyer will not qualify for, the proration can be run against a materially larger tax bill than the one you were used to paying.
  • It is not final at closing. If the actual taxes for the year differ from the estimate used, the contract requires the parties to adjust once the statements are available. A true-up request months after closing is normal, and it can go either way.

What is customary versus what is actually fixed

Sellers often treat all of these as fixed. Only some are.

Customary but negotiable — the contract has a checkbox or a blank for each of these. Who pays the owner’s title policy. How the escrow fee is split, where 50/50 is the printed default rather than a rule. Whether the seller furnishes an existing survey or buys a new one. Who pays for the HOA subdivision information.

Genuinely fixed — the title premium rate itself, which the state sets, so it is identical at every title company in Texas. The $375 statutory ceiling on an HOA resale certificate. County recording fees.

Fully open, with no custom left at all — both brokerage compensation lines. The TREC contract now prints on its face that brokerage compensation is not set by law and is fully negotiable.

Costs before you list, which this guide has not counted

Everything above happens at closing. Money you spend to get the house ready is separate, and it varies enormously: photography, pre-listing repairs, paint, cleaning, staging, and any inspection you choose to do in advance.

That spending is where sellers most often get the arithmetic wrong in both directions — under-investing in the cheap things that change how the house presents, and over-investing in remodels that do not return their cost. Which repairs actually pay you back covers where that line sits.

Getting your own number

Percentages are orientation. A net sheet for your actual house — your price, your tax rate, your HOA, your remaining loan balance — takes about a day to produce and is the only version that helps you plan.

Send the address and Meredith will put one together alongside the valuation, at no charge. Or call 806-781-7464 and ask.

About these figures

Title premiums come from the state’s promulgated schedule effective March 1, 2026. Contract references are to the TREC forms effective July 1, 2026. Statutory caps and recording fees are cited to their sources in the detailed guide. Rates and forms change — this page was last reviewed on the date shown above, and anything you are relying on for a specific transaction is worth confirming with your title company.

FAQ

Questions about cost

How much does it cost to sell a house in Texas?

For a typical resale where the seller pays the owner's title policy and contributes toward the buyer's agent, expect roughly 5.5% to 6.5% of the sale price in fees. Counting the property tax proration, which is money you genuinely owed rather than a fee, the total reduction to your proceeds is commonly 7% to 8%.

What is the biggest cost when selling a house?

Brokerage compensation, and within that the largest genuinely negotiable line is what you contribute toward the buyer's agent. On a $500,000 sale, taking that contribution from 2.5% to zero moves the fee subtotal from about 6.1% to roughly 3.6%.

Do sellers pay property taxes at closing in Texas?

You credit the buyer for your share. Texas taxes work in arrears — the lien attaches January 1, bills go out around October, and payment is due the following January. At a mid-year closing you have owned the home through months of an unpaid, unbilled tax year, so you credit the buyer for January 1 through the closing date.

Can I negotiate who pays closing costs in Texas?

Much of it, yes. Who pays the owner's title policy is a checkbox. The escrow fee split is a printed default, not a rule. Whether you furnish an existing survey or buy a new one is an option. Both brokerage compensation lines are fully open — the contract says so on its face.

Numbers are useful. Yours are more useful.

Ranges only get you so far. Send the address and Meredith will run the actual comps for your house, in your neighborhood, and tell you what it should list at.

Meredith Sherwood · TREC License No. 0832882
Keller Williams Dallas Metro North
2611 Cross Timbers Rd, Ste. 100, Flower Mound, TX 75028

Call MeredithFree Re-Evaluation