Closing Costs in Indiana: A Guide for Sellers
When selling your home in Indiana, it’s important to understand the various expenses involved, including closing costs. These fees cover essential services and procedures required to finalize your property sale, such as loan payoffs, property taxes, and agent commissions. In Indiana, closing costs typically include both state-specific fees and standard expenses that sellers encounter.
Our brief guide will explain some of the closing costs you might encounter in Indiana, helping you anticipate what you might need to pay when selling your home.
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?
Closing costs are the fees involved in the final steps of buying or selling a property. These expenses can cover a variety of charges, such as property taxes and insurance, which are commonly encountered by both homeowners and sellers. Additionally, some fees, like transfer taxes, may differ based on the location of your property at the time of sale.
Mortgage/Loan payoff amount
The loan payoff amount is the outstanding balance on your mortgage that must be cleared before you can finalize the sale of your home. This amount includes the remaining principal balance, any accrued interest, and any additional fees that have accumulated over the duration of the loan.
When selling your home, it’s essential to ensure that the loan payoff is fully addressed to meet all the terms of your mortgage before transferring ownership.
Property taxes
According to WalletHub, Indiana ranks 21st in the country in terms of property taxes, placing it above cities like Montana and Kentucky.
Real estate in Indiana is taxed at a rate of $0.7090 (70.9 cents per $100) , with a median home value in the state of $264,000. To get a better idea of what you might owe, consult a property tax calculator.
