What it actually costs to sell a Texas home
The sale price on a contract is not the number that hits your account. Between contract and closing, several line items come out — commission, title policy, escrow, prorations, concessions, and mortgage payoff. This hub walks through every one for Texas specifically, then compares that to what a cash sale actually nets.
If you want to skip to the arithmetic, the Home Sale Net Proceeds Calculator does it in-browser.
The costs on a traditional listing
Agent commission. In Texas the customary combined commission is 5–6%, split roughly equally between the listing agent and the buyer’s agent. A $350k sale at 5.5% is $19,250. Commission is negotiable and there are discount and flat-fee models — our commission savings calculator compares them.
Seller closing costs. In Texas the seller customarily pays for:
- Owner’s title policy: calculated by state rate schedule, roughly 0.5–0.6% of sale price for homes in the $200–500k range. On $350k that’s about $2,000.
- Escrow and closing fees: typically $400–$800 at most DFW title companies.
- HOA transfer and resale certificate: $200–$500 if there’s an HOA.
- Prorated property taxes: your share of the year to closing date.
- Prorated HOA dues: same.
- Miscellaneous document / delivery / recording fees: $200–$500.
Total seller-side closing costs typically land at 1–3% of the sale price.
Concessions after inspection. Buyers commonly negotiate seller credits after the option-period inspection. On a standard home in acceptable condition, expect $2,000–$5,000 in credits or repairs.
Mortgage payoff. Whatever’s left on the loan, plus accrued interest to closing date, plus any early-payoff or reconveyance fees. Get the payoff quote from your servicer 3–5 business days before close.
Worked example, $350k Texas listing:
- Gross sale price: $350,000
- Commission (5.5%): −$19,250
- Closing costs (1.5%): −$5,250
- Concessions: −$3,000
- Mortgage payoff: −$150,000
- Net to seller: $172,500
That’s the reality check number to compare against any cash offer.
| Cost line item | Typical range (traditional listing) | On a $350k Texas sale |
|---|---|---|
| Agent commission | 5–6% of sale price | $17,500–$21,000 |
| Seller closing costs | 1–3% (title, escrow, prorations) | $3,500–$10,500 |
| Buyer concessions after inspection | $2,000–$5,000 | $2,000–$5,000 |
What a cash sale actually costs
Headline cash offers exclude several deductions that reduce what hits your account:
iBuyer service fee. Opendoor and Offerpad both take a 5–8% service fee off the top of the offer. On a $325k iBuyer offer with a 7% fee, that’s $22,750 gone before you see a check.
Repair “adjustments”. Both iBuyers and direct cash buyers reduce the offer for estimated repair costs found during their inspection. This is the biggest source of surprise for sellers — the initial verbal offer can drop $10–30k after inspection.
Closing costs. On a cash sale, the buyer often pays most or all of the closing costs. Confirm this in the contract; don’t assume.
Repairs and concessions. Usually $0 on a true cash / as-is sale. That’s the main compensating factor.
Mortgage payoff. Same as traditional — you still owe what you owe.
Worked example, $350k value cash sale to an iBuyer:
- Initial offer (88% of value): $308,000
- Service fee (7%): −$21,560
- Repair adjustments: −$8,000
- Closing costs (paid by buyer): $0
- Mortgage payoff: −$150,000
- Net to seller: $128,440
A traditional listing on the same house nets $172,500. A cash sale nets $128,440. The traditional sale is $44,060 more — that’s what “convenience” costs on this specific home. On a distressed home that can’t be listed traditionally, that math flips.
The five things that most change your net proceeds
- Which lane you sell in. Traditional > iBuyer > direct cash buyer > wholesaler, in that order for a habitable home. On distressed homes, direct cash buyer is often the only real option.
- Whether you shop the offer. Two or three competing offers change the net by 5–15%. Every time.
- What condition the buyer sees. Small pre-sale investments (a clean carpet, decluttering, a functioning HVAC) meaningfully change the offer even on as-is deals.
- Whether you understand the fee structure. Companies that quote 88% but net 78% aren’t lying — they’re relying on you not doing the math.
- How much you owe. Payoff is what it is, but a HELOC or second lien can catch sellers off guard.
Related tools and guides
- Home Sale Net Proceeds Calculator
- Commission Savings Calculator
- How much you actually net from an Opendoor offer in Texas
- How much you actually net from an Offerpad offer in Texas
- Hidden costs of selling to a cash buyer
- Capital gains when selling a home in Texas
- DFW housing market forecast
Before you sign anything, run your numbers.