Closing Costs in Illinois: A Guide for Sellers
Understanding the financial aspects of closing costs is an important factor when selling your home in Illinois. Closing costs are various fees that sellers need to cover to finalize the sale of their property. These costs can include agent commissions, property taxes, and other necessary fees tied to the closing process.
Our concise guide will walk you through the specifics of closing costs in Illinois, helping you anticipate what you’ll need to budget for.
Disclaimer: This article provides estimates of a seller’s closing costs that are meant for educational and research purposes only; our calculations are not a guarantee.
What are closing costs?
When completing the sale of your property, you’ll encounter various fees collectively known as closing costs. These costs can encompass everything from property taxes to insurance premiums, many of which are standard for both sellers and buyers.
However, some fees, like transfer taxes, can differ based on your home’s location and specific circumstances at the time of sale.
Mortgage/Loan payoff amount
Before selling your home, you’ll need to settle your mortgage by paying the loan payoff amount. This amount represents the remaining balance on your mortgage, which includes the principal and any interest that has accumulated over the life of the loan.
Additionally, the loan payoff amount may include other fees, such as prepayment penalties or late charges, that must be cleared to satisfy the terms of your mortgage and allow the sale to proceed.
Property taxes
According to WalletHub, Illinois ranks 50th in the country in terms of property taxes, placing it above states like New Jersey.
To get a better idea of what you might owe, consult a property tax calculator.
