Closing Cost Calculator for Michigan: Seller Averages
This free calculator can help home sellers in Michigan estimate their closing costs and net proceeds. To get a ballpark idea of the cost of selling a house in the Wolverine State, enter the information for each of the input fields above. You can see typical or state averages for most Michigan seller closing costs below.
Home Selling Price: $249,000
How does your home compare to the state’s median selling price of $249,000? To determine your listing price, you can:
- Get a preliminary estimate with HomeLight’s free Home Value Estimator
- Request a Comparative Market Analysis (CMA) from a top Michigan agent
- Purchase a pre-listing home appraisal (typically $625 in Michigan)
- Visit this HomeLight map link to compare recently sold homes in Michigan
Mortgage Payoff Amount: $160,335
According to the credit experts at Experian, the average mortgage balance for Michigan homeowners is $160,335. To find your exact payoff amount, check your latest mortgage statement or contact your mortgage servicer.
Listing Agent Fee: $6,225–$7,470
A typical listing agent commission in Michigan is 2.5% to 3% of the home’s selling price. On a $249,000 house, your agent’s fee might range from $6,225–$7,470.
Get the Highest Proceeds: HomeLight data shows that the top 5% of agents sell homes faster and for up to 10% more than average agents. Try HomeLight’s free Agent Match platform to consult with the highest-performing agents in your Michigan market.
Buyer’s Agent Fee: $6,225–$7,470
In the past, sellers covered both the listing agent and the buyer’s agent fees. However, following a landmark court settlement by the National Association of Realtors, buyers are now expected to negotiate compensation directly with their own agents. If you’re offering to pay this fee to attract buyers, on a $249,000 median-priced Michigan home, you can expect to pay $6,225–$7,470.
Detailed Closing Costs: $6,723
Closing costs in Michigan average about 2.7% of the home’s sale price. On a median-priced home of $249,000, you might pay $6,723. Below are some of the typical types of closing costs you can expect:
- Home Preparations: Enhancing the home’s curb appeal by landscaping or staging will add to your closing costs, but usually helps the home sell for more.
- Renovations/Repairs: You’ll want to update or repair your property to meet buyer demand or inspection requirements.
- Title Service Fees: These will include the title company’s process for verifying legal ownership and helping manage the property transfer.
- Owner’s Title Insurance: A one-time insurance premium paid by the seller to protect the buyer from title issues or disputes with ownership.
- Transfer Taxes: Michigan home sellers pay a transfer tax rate of $3.75 for each $500 or fraction thereof. (See more below.)
- Recording Fees: These are fees paid to the local government to record changes to the property’s ownership.
- Buyer Incentives: Credits or concessions you might offer buyers, such as paying the buyer’s agent fees or offering a rate buydown.
- Other Costs: Miscellaneous expenses not covered in other categories, such as attorney fees and HOA transfers. (An attorney is not required to sell a house in Michigan.)
- Moving Expenses: While not technically a closing cost, it’s good to factor this into your budget, which can often range from $883 to $7,000.
Michigan transfer tax responsibility is generally the seller’s, though if agreed upon by both parties, it can fall to the buyer.
In Michigan, real estate transactions exceeding $100 in value will require the payment of a State transfer tax. This tax is levied at a rate of $3.75 for every $500 (or a portion of $500) of the property’s value.
Make Buying and Selling Easier: Most Michigan sellers are also buyers looking to purchase a new home. With HomeLight’s Buy Before You Sell program, you can make a non-contingent offer on your new home and only move once. Watch this short video to learn more.
More Helpful Seller Tools From HomeLight
Here are some additional tools you may find helpful as you plan your Michigan home sale:
- Listing Agent Match platform
- Home Value Estimator
- Best Time to Sell Calculator
- Agent Commissions Calculator
- Net Proceeds Calculator
Want to avoid closing costs and sell fast? Get a cash offer today.
With HomeLight’s Simple Sale platform, you can receive a no-obligation, all-cash offer in 24 hours and close in as few as 10 days. Answer a few questions about your Michigan home to get started. Along with your offer, you’ll also see an estimate of what a top Michigan agent might be able to get for your home. Get both options with one tool.
As you look ahead to your next home purchase, here are some helpful buyer tools: