Who Pays Closing Costs When Selling a House in Pennsylvania?
The sale price on the agreement is never the number that lands in your pocket. Between transfer taxes, title charges, deed prep, and, in a traditional sale, commissions, the gap can be startling if nobody warned you. We have sat at hundreds of closing tables across Luzerne and Lackawanna counties, so here is a plain-English walkthrough of who typically pays what in Pennsylvania, and how a cash sale changes the list.
The PA Realty Transfer Tax
Pennsylvania charges a realty transfer tax when property changes hands: a state portion plus a local portion that varies by municipality and school district. In most NEPA towns the combined bite is commonly around two percent of the sale price, though a few municipalities charge more, so check your town. Here is the key part: the law does not dictate who pays it. By long local custom, buyer and seller commonly split it down the middle, but it is negotiable in the agreement of sale. On many of our purchases in places like Pittston and Swoyersville, we simply cover the seller's customary share as part of the offer, which is one of the questions worth asking any buyer up front.
Deed Prep, Title Charges, and the Smaller Line Items
- Deed preparation. Someone has to draft the new deed, usually an attorney or the title company, for a modest fee.
- Title insurance. In Pennsylvania the buyer customarily pays for the title policy, which protects against ownership surprises. Sellers mainly feel title costs through small settlement and notary fees.
- Prorated property taxes. You cover taxes up to closing day; the buyer takes it from there. Depending on when the county and school bills fall, this shows up as a credit or a charge.
- Municipal certifications. Sewer, water, and tax certs, and in some boroughs an inspection or occupancy requirement, each with a fee. Our paperwork guide covers these in more detail.
- Lien payoffs. Mortgage balances, judgments, or overdue utility accounts get paid from proceeds at the table.
The Biggest Line Item: Commissions
In a traditional listed sale, agent commissions are typically the largest single seller cost, commonly a mid-single-digit percentage of the price, and buyers often ask for concessions or repairs on top after inspection. Agents earn that fee on many sales, and our agent vs. cash buyer comparison is genuinely fair to them. But it is the line that changes most between selling paths. In a direct cash sale there is no listing, so there is no commission at all, and because we buy as-is, there is no post-inspection repair negotiation either. For a seller in Clarks Summit weighing a strong retail price against a cash offer, comparing the net after all deductions, not the headline price, is the honest way to do it. Our side-by-side comparison lays out that math.
Where the Renovation Money Goes After Closing
BEFORE
AFTERHow a Cash Sale Rewrites the Cost List
When we make an offer through our process, we typically structure it so the customary seller-side closing costs are ours, not yours. No commission, no repair credits, and in most cases the transfer tax share and settlement fees handled. Existing liens and your mortgage payoff still come from your proceeds, because that is your debt being cleared, but the goal is simple: the offer you accept should closely resemble the check you receive. That clarity matters most for people under pressure, whether that is a foreclosure clock, an inherited house with estate costs piling up, or a rental that stopped making sense. The full mechanics are in our post on how a cash sale works in NEPA.
Get Your Actual Numbers, Free
Every sale is different, and the only version of this list that matters is yours. We buy houses in Old Forge and all across Northeastern PA, our reviews show how we treat neighbors, and we are happy to walk your specific costs before you commit to anything. Send us a message or call (570) 600-6504, and we will put real numbers on paper together.
