Seller Closing Costs in California
As a seller, your closing costs come out of your sale proceeds at closing. Here's each cost, who customarily pays it in Southern California, and how to estimate your net.
Last updated November 2026
Each seller cost explained
Commission. Set by your listing agreement and paid from your proceeds at closing.
Owner's title insurance policy. It protects the buyer's ownership. In Southern California the seller customarily pays for it. Premiums are set by each title insurer's filed rates, so your title company will quote the exact amount.
Escrow fee. Customarily split between buyer and seller in Southern California.
Transfer tax. The seller customarily pays the county tax and any city tax.
Escrow fee with Cloud Escrow
- Escrow fee: $0
- Wire fee: $30
- Messenger fee: $50
- Total: $80
Other closing costs and service fees may apply.
Transfer tax
Every California county charges $0.55 per $500 of value, or $1.10 per $1,000 (Rev. & Tax. Code §11911). Some cities add their own tax, and the City of Los Angeles adds Measure ULA on higher-priced sales.
Loan payoff and reconveyance
If you have a loan on the home, escrow pays it off from your proceeds at closing. Once it's paid, the lender's lien is released through a reconveyance.
Prorations and HOA
California's property tax year runs July 1 to June 30. The 1st installment is due Nov 1 and delinquent after Dec 10. The 2nd is due Feb 1 and delinquent after Apr 10, with a 10% penalty per late installment.
Escrow prorates the current year's taxes between buyer and seller as of the closing date (LA County Treasurer-Tax Collector).
A change of ownership triggers reassessment at market value. The buyer gets a separate supplemental tax bill for the difference, prorated for the rest of the fiscal year, and two bills if the sale closes January–May (Board of Equalization).
If the home is in an HOA, dues are prorated as of closing too.
How to estimate your net
The Seller Net Sheet estimates what you walk away with after commission, escrow, title, transfer tax and prorations. You can edit any line.
Seller closing costs FAQ
What does a seller pay in escrow fees with Cloud Escrow?
+
The seller's escrow fee is $0. A $30 wire fee and a $50 messenger fee apply. Other closing costs and service fees may apply.
Does the seller pay the transfer tax in California?
+
In Southern California the seller customarily pays the county transfer tax and any city transfer tax. It's negotiable in the purchase agreement.
Does the seller pay for title insurance?
+
In Southern California the seller customarily pays for the owner's title insurance policy, which protects the buyer's ownership.
How do I estimate my net proceeds?
+
Use the Seller Net Sheet. Enter your price and details, or upload your purchase agreement, and edit any line to match your sale.
Ready to open escrow?
This guide is general information, not legal or tax advice. Customs vary by county, and every cost is negotiable in your purchase agreement.