Seller Net Sheet Guide: How to Calculate Your Real Proceeds
Every line item between sale price and the wire that hits your account — commissions, title fees, transfer taxes, prorations, payoffs, and concessions. Build a net sheet that's actually accurate.
Net is the only number that matters
Sellers fixate on sale price. The number that determines how much money is left to retire, move, or buy the next house is net proceeds. The two numbers are typically 8–11% apart.
A clean net sheet built before listing — and updated at every offer — is the difference between a confident seller and a panicked one.
The standard line items
- Sale price
- Less: real estate commissions (typically 4.5–6% split between buyer and listing agent)
- Less: mortgage payoff (current principal + interest through closing date + any prepayment penalty)
- Less: owner's title insurance (in seller-pays counties)
- Less: settlement / closing / attorney fees
- Less: transfer tax / documentary stamps (state and county vary widely)
- Less: prorated property taxes (your share through close date)
- Less: seller concessions to buyer (credits, repairs, rate buy-downs)
- Less: HOA transfer fees, estoppel letters, and condo questionnaires
- Plus: refunded escrow balance from your loan servicer (if any)
- Plus: prepaid items credited back
= Net proceeds (the wire you receive)
Commissions and concessions
Commissions are negotiable. The standard model is total commission split between the listing brokerage and the buyer's brokerage, paid by the seller at closing.
Seller concessions (credits at closing, often 1–3% of price) are common in normal markets and material in buyer's markets. They reduce proceeds dollar-for-dollar.
Title and settlement
Florida and Texas: most counties are seller-pays-title by custom; Sarasota, Manatee, and a handful of others are buyer-pays.
California: split between buyer and seller varies by county.
Northeast: typically buyer-pays.
Always confirm the custom in your market before building a net sheet — the assumption changes proceeds by 0.5–1% of price.
Transfer tax / documentary stamps
State and local transfer taxes vary dramatically:
- Florida: $0.70 per $100 of consideration (statewide), plus county surtaxes in some areas.
- New York City: combined NY state + city transfer tax can exceed 2% on high-end sales.
- Texas: no state transfer tax (filing fees only).
- California: combined state + county + city varies — Los Angeles' Measure ULA adds 4–5.5% on properties above $5M.
Always pull the actual rate for your county.
Mortgage payoff math
Mortgage payoff is not the same as your current balance — it includes interest accrued through closing day, plus any prepayment penalty (rare on residential, common on some commercial).
Request a written payoff statement from your servicer 7–10 days before closing. Use it on the net sheet; estimating costs you accuracy.
Prorations and adjustments
Property taxes and HOA dues are prorated to the closing date. You owe your share through closing; the buyer owes theirs from closing forward.
In states that pay taxes in arrears (Florida, Illinois, others), the proration is a credit from seller to buyer for accrued-but-unbilled taxes. This often runs $2,000–$8,000 on a single-family home.
Re-running the net sheet at every offer
Offers should be compared by net, not headline price. A $470,000 offer with no concessions usually nets more than a $480,000 offer with $10,000 in credits and a $5,000 repair allowance.
Run the ADK Net Sheet for every offer at the actual terms — including concessions, financing type, and proposed closing date — before accepting or countering.
Tax implications of net proceeds
Net proceeds are not necessarily what you pay tax on. For a primary residence, the Section 121 exclusion shelters up to $250K (single) or $500K (married) of capital gain. For investment property, the entire gain is taxable (capital gain + depreciation recapture) unless deferred via a 1031 exchange.
Talk to a CPA before signing if your gain might exceed the exclusion or if the property has been rented or converted.
Common net sheet mistakes
- Forgetting the buyer's-agent commission when the seller is paying both sides.
- Using the loan principal balance instead of the actual payoff with interest.
- Ignoring HOA transfer / estoppel fees ($300–$700 in many states).
- Underestimating concessions in a buyer's market.
- Forgetting property tax proration in arrears-billed states.
Build the math, then the conversation
How this plays out locally
Frequently asked
How accurate is a pre-listing net sheet?+
Within 1–2% of final proceeds if you use real data (actual payoff, real tax bill, accurate commission, market-typical concessions). Generic online calculators are usually 3–5% off.
Are net sheets the same in every state?+
No — title customs, transfer taxes, and proration conventions vary by state and county. Always use a tool that supports your specific market.
Do I need to give the buyer a net sheet?+
No — the buyer gets their own closing disclosure. The seller's net sheet is internal to the listing-side conversation.
Can I get a binding net sheet from the title company?+
Title companies provide estimated settlement statements before close, but the binding numbers come on the final closing disclosure 1–3 days before closing.
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