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From conveyance taxes to agent commissions, the price of selling a home in the Constitution State can add up fast — and eat into your profits. Before putting your house on the market, it’s important to understand how much the transaction will cost you. Here, we break down the cost to sell a house in Connecticut.
Sellers’ closing costs
Homebuyers aren’t the only ones who pay closing costs. Sellers have their share of closing costs too, and the amount you’ll pay will reduce your overall profit. For Connecticut sellers, common costs include:
- Conveyance tax: As a home seller in Connecticut, you must pay a conveyance tax to transfer ownership of your home to the buyer. The tax includes a state portion and a local portion, and the rate ranges from 1 to 2.75 percent of your property’s sale price. The state’s median sale price in June 2024 was $478,000, per Redfin data; 2.75 percent of that would come to $13,145.
- Legal fees: Connecticut law requires sellers to engage a licensed real estate attorney; the legal fees vary depending on the transaction and will be due at closing.
- Escrow fees: If any funds are held in an escrow account during the transaction, there may be a fee involved in maintaining it.
- Property taxes and HOA fees: You’ll need to ensure your property taxes are fully paid right up until the house officially changes hands. The same applies to HOA fees, if you’re part of a homeowners association.
- Seller concessions: During the negotiation process, your buyer may request certain concessions — for example, they could ask you to pitch in on the cost of repairs that are needed. You don’t have to agree, but if you do, you’ll settle these expenses as part of your closing costs.
Real estate agent commissions
If you use a real estate agent, you’ll also need to pay that agent’s commission fee, which usually ranges from 2.5 to 3 percent of the home’s sale price. In an expensive state like Connecticut, this can be a significant expense: 3 percent of a median-priced $478,000 home comes to more than $14,000.
For many years, sellers have been responsible for paying both their agent and the buyer’s agent, which would double that price. However, due to a recent lawsuit settlement, buyers may now need to pay their own agent’s commission. The details will depend on your specific deal, so be sure your contract spells out exactly who will be paying which fee, and how much.
Keep in mind too that home prices vary widely from city to city, so your total commission cost will depend on home values in your local Connecticut housing market. For example, Redfin data shows that a median-priced home in Hartford is $280,000, which would result in a lower commission than the statewide median. But in Greenwich, where the median sale price is over $2 million, the amount will be much, much higher.
Home-prep and moving costs
Many home sellers opt to invest some money into making their house look its best before listing it. At a minimum, you may want to fix any visible flaws that potential buyers would notice, such as peeling paint or damaged flooring.
Focus on increasing your home’s curb appeal as well: A property makes a better first impression with a tidy lawn and sparkling-clean windows, for example. In some cases, particularly for dated or cluttered properties, home staging in a few interior rooms can also help make things more attractive to buyers. Not all home improvements will recoup their full cost, though, so if you’re unsure which projects are worth tackling, ask your real estate agent.
Once you’ve spruced things up, bring in a photographer to capture high-quality shots of your home’s interior and exterior. (Your agent can help with this as well.) These images will accompany your online listing, which for most buyers will be their very first impression of the home, so it’s worth making sure they’re as appealing as possible.
Finally, don’t forget about the costs of moving your belongings to your new home. If you’re staying local, you’ll likely pay around $1,700, according to HomeAdvisor. But long-distance moves can cost thousands more.
How much do I get from selling my house?
Your net proceeds are the amount of money you’ll pocket from your home sale after deducting all of the costs of selling a home, including closing costs, commissions and moving costs. To calculate your net proceeds, subtract all of these expenses and your remaining mortgage balance (if you have one) from your home’s final sale price. If you make a significant profit, keep in mind that you may have to pay capital gains tax on your sale proceeds. That will depend on how much you make on the sale, whether you pay taxes as an individual or jointly with a spouse, and more.
Reducing costs
While the costs of selling a home can get pricey, you may be able to reduce them by:
- Negotiating commissions: Before hiring a real estate agent, ask if they’re open to negotiating their commission rate. If they’re willing to reduce their rate even slightly, you could see sizable savings — especially with a higher-priced home.
- Selling as-is: Instead of spending money on renovations or upgrades, you can choose to sell your home in “as-is” condition. This means that the buyer accepts your home in its current condition — and you won’t be making any changes or repairs.
- Tackling prep work yourself: If there are any projects you feel comfortable DIY’ing (for example, repainting or fixing up your lawn), you can save on hiring professionals to do them.
- Comparing rates: If you do opt for a pro’s help, compare quotes from multiple providers to make sure you’re getting the best deals.
Alternatives
There are plenty of other ways to sell a home beyond the traditional agent-assisted sale. Here are some alternatives to consider:
- Cash homebuyers and iBuyers: Cash-homebuying companies provide quick, all-cash offers and can close a deal in just a few weeks (or less). However, they generally don’t offer full market value, so you’ll likely earn less money from this sort of sale.
- For sale by owner: In a FSBO sale, you’ll act as your own agent — meaning that you’re responsible for everything from setting an asking price to marketing your property to negotiating with buyers. This saves you from having to pay a listing agent’s commission (but you may still have to pay your buyer’s agent).
- Home equity loan or line of credit: If you don’t necessarily want to sell but need cash, you may be able to borrow against your equity with a home equity loan or HELOC.
- Renting: Similarly, if you have another place to live, renting out your house can provide a steady source of cash while letting you keep ownership of your property. The median rent for a house in Connecticut is a high $3,570, according to Zillow Rental Manager.
Next steps
When it’s time to sell your home in Connecticut, it’s helpful to have a knowledgeable local real estate agent by your side. Agents are licensed pros with extensive expertise and insight into their local housing markets, which will help you navigate the selling process smoothly and get the best price possible for your home.
FAQs
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According to CoreLogic, the average closing costs in Connecticut are equal to 2.1 percent of the home’s sale price, not including Realtor fees. For a median-priced $478,000 home in the state, that would translate to just above $10,000 — but the seller is not responsible for that entire cost.
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Yes, you can sell your home without a Realtor in any state, including Connecticut. By going this route, you’ll have more control over the process and you won’t have to pay a listing agent’s commission fee. However, sellers who don’t work with a Realtor have to take on all of their duties themselves, including creating a listing, hosting viewings, bargaining with buyers and navigating the closing process. It’s a lot of work.
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