Home
Back
Proceeds Calculation:
| From: | To: |
The net proceeds from a home sale represent the amount of money you actually receive after accounting for all costs associated with selling your property. This is different from the sale price and is the amount you'll have available for your next home purchase or other use.
The calculator uses a simple formula:
Where:
Explanation: The calculation shows your actual take-home amount after satisfying all financial obligations related to the sale.
Details: Knowing your net proceeds helps in financial planning for your next home purchase, estimating tax obligations, and understanding your true profit from the sale.
Tips: Enter all values in dollars without commas. For most accurate results, use actual figures from your closing disclosure or estimates from your real estate agent.
Q1: What's included in closing costs?
A: Typical closing costs include real estate commissions, title insurance, transfer taxes, attorney fees, and prepayment penalties if applicable.
Q2: How accurate is this calculator?
A: The calculator provides a basic estimate. Actual proceeds may vary based on prorated taxes, HOA fees, and other adjustments made at closing.
Q3: Are proceeds the same as profit?
A: No. Profit would require subtracting your original purchase price and any capital improvements from the proceeds amount.
Q4: When will I receive my proceeds?
A: Typically at closing, either via wire transfer or certified check, after all documents are signed and funds are disbursed.
Q5: Are proceeds taxable?
A: For primary residences, up to $250,000 ($500,000 for married couples) of gain is typically tax-free if you've lived there 2 of last 5 years.