Michigan seller net proceeds calculator
What you'd walk away with after selling: the price minus commission, Michigan transfer tax, title costs, your payoff and anything you agree to give the buyer.
What's in the numbers
| Cost | How it's figured |
|---|---|
| Commission | The rate you enter times the sale price. Negotiable, not set by law. |
| State transfer tax | $3.75 for each $500 of the price, or part of $500 (MCL 207.505). Paid by the seller. |
| County transfer tax | $0.55 for each $500 of the price (MCL 207.505). Paid by the seller. |
| Title and closing fees | The owner's title policy, which Michigan sellers customarily pay, plus settlement and recording fees. The starting figure is an estimate; your title company quotes the exact amount. |
| Mortgage payoff | Comes out of the proceeds but isn't a selling cost, so it's left out of the cost percentage. |
Most Michigan sellers spend about 6% to 10% of the price once everything is counted. The full breakdown, with a worked example, is in what it costs to sell a house in Michigan.
Questions
Who pays transfer tax when you sell a house in Michigan?
By custom and in standard purchase agreements, the seller pays both the state transfer tax ($3.75 per $500 of the price) and the county transfer tax ($0.55 per $500). Together that's 0.86%, or $2,580 on a $300,000 sale.
Can I get the state transfer tax back?
Sometimes. Under MCL 207.526(t), a principal residence can be exempt from the state portion when its SEV at the time of sale is no higher than its SEV when you bought it, and it sells for no more than its true cash value. Your title company or a tax advisor can confirm. The county portion still applies.
Is real estate commission set by law?
No. Commission is negotiable and set by agreement between you and your brokerage. Enter the rate you've agreed to or are considering.
What else comes out of my proceeds?
Your mortgage payoff, any property taxes owed for the time you've owned the home this year, the owner's title insurance policy (customarily paid by Michigan sellers), any credits you agree to give the buyer, and any repairs you agree to make.