When Do You Get Money From Selling Your House?

How do you get your money after selling a house?

At closing, the settlement agent (an escrow officer or real estate attorney) will handle distributing the money from your home sale. But before you receive your share, a few other costs are taken care of first, including:

• Your remaining mortgage balance
• Real estate agent commissions
• Unpaid property taxes
• Any outstanding utility bills or HOA dues
• Title, escrow, and other closing fees

After all debts and expenses tied to the home are paid off, the settlement agent will send you the remaining balance, known as your net proceeds.

Wire transfer vs. cashier’s check

You’ll usually have two options for receiving your money:

• Wire transfer: The funds are sent electronically to your bank account. Wire transfers are fast — often processing the same day — but your bank may charge a small wire fee.
• Cashier’s check: You can also request a physical check from the settlement company. While this avoids any wire fees, cashier’s checks can take a day or two to clear once you deposit them. For this reason, most sellers prefer a wire transfer to get their money as quickly as possible.

What can speed up getting money from a home sale?

If getting your money quickly is important to you, here are a few things that can help move the process along:

• Choose wire transfer: Opting for a wire transfer over a cashier’s check usually gets your money into your account faster.
• Work with an experienced settlement agent: A seasoned escrow officer or real estate attorney can spot and fix potential issues before they cause delays. The experience and skill of your listing agent can also play a role.
• Provide paperwork promptly: When the settlement team asks for information like your mortgage payoff statement or HOA documents, responding quickly can help keep everything on schedule.
• Schedule an early-in-the-day closing: If you close in the morning, your settlement agent has more time to process the paperwork and initiate the funds transfer the same day.

While it’s not in your control, selling in a wet funding state will also help you receive your proceeds sooner — often on the same day as closing or the next business day.

What can delay getting money from a home sale?

Some situations can slow down the process of receiving your sale proceeds:

• Late closing time: If your closing appointment is late in the day, there may not be enough time to finalize and fund the transaction until the next business day.
• Errors in closing documents: Mistakes like a misspelled name, incorrect payoff amount, or missing signatures can trigger delays while the paperwork is corrected.
• Dry funding rules: If you’re selling in a dry funding state, the lender must review and approve the closing documents after they’re signed, which can add an extra day or two before the transaction is funded.
• Bank processing times: Even after a wire transfer is initiated, your bank may have internal processing times that could slightly delay when the money actually shows up in your account.
• Outstanding liens or title issues: If there are unresolved problems with the property’s title, such as a lien or unpaid tax bill, they must be cleared before the sale can be finalized and funds distributed.

Get to Closing Day Faster With a Cash Offer

Get a no-obligation all-cash offer through HomeLight’s Simple Sale. Cash offers can reduce the time it takes to close from months to weeks (or even days) and eliminate the risk of a sale falling through due to your buyer’s financing. You can skip repairs and sell without paying commission or additional fees. You’ll also see an estimate of what a top agent might get for your home.

Request Offer

FAQs on what sellers can expect on closing day

What will my closing day look like?
Closing day usually involves meeting with your settlement agent to review and sign the final paperwork. If you haven’t pre-signed documents in advance, you’ll sign the deed, settlement statement, and any loan payoff documents if you still have a mortgage. Once everything is signed and funds are confirmed, the buyer officially becomes the new owner, and your proceeds are prepared for distribution.

What should I bring with me on closing day?
You’ll typically need to bring a government-issued photo ID, any house keys or garage openers, and your checkbook in case any last-minute fees need to be paid. Your settlement agent will confirm if anything else is needed based on your specific sale.

What happens to my buyer’s earnest money deposit?
The earnest money deposit your buyer made when the offer was accepted is credited toward their down payment and closing costs. It’s handled through the settlement process and won’t come directly to you unless the deal falls through under certain contract terms.

When will my real estate agent get paid?
Your agent’s commission is paid directly out of the sale proceeds at closing. You don’t need to write a separate check — the settlement agent handles distributing the commission to your agent’s brokerage before sending you your net proceeds.

How much will I make after selling my home?
Your final amount — called your net proceeds — is what’s left after paying off your mortgage, agent commissions, closing costs, property taxes, and any other outstanding fees. You can ask your agent or settlement company for a seller’s estimated net sheet ahead of time to get a clearer idea of what you’ll walk away with. If you are just looking ahead at possible sale profits, try HomeLight’s Net Proceeds Calculator.

How much will I pay in seller closing costs?
Seller closing costs usually total about 6% to 10% of the home’s sale price. This includes agent commissions, title insurance, escrow fees, and prorated property taxes. Costs can vary depending on your location and whether you agreed to cover any of the buyer’s closing costs. If you are trying to get an early estimate for your own home purchase, check out HomeLight’s Closing Cost Calculator.

Will I pay taxes on my home sale proceeds?
You might owe taxes if you made a large profit on your home. However, many homeowners qualify for a capital gains exclusion of up to $250,000 (or $500,000 for married couples filing jointly) if they lived in the home as their primary residence for at least two out of the past five years. It’s a good idea to check with a tax professional if you’re unsure about your situation.

A top agent can speed up your sale and closing

Working with a top real estate agent can make a big difference in how smooth — and fast — your home sale goes. The right agent will help you avoid common delays by keeping track of important deadlines, coordinating with the settlement team, and making sure all necessary documents are ready for closing day.

If you’re making plans and looking for a great agent to buy or sell, HomeLight’s free Agent Match platform can connect you with some of the best performers in your area. We analyze millions of real estate transactions and thousands of reviews to find the agent that’s right for your needs. Get started today and take one more step toward a faster, stress-free closing.

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