File Updated First documented
Closing costs, cash to close and seller proceeds
These figures answer different questions. Closing charges describe transaction expenses; buyer cash describes the remaining funding required; seller proceeds describe the balance left after the seller’s obligations.
Buyer cash: start with the funding gap
In the general settlement worksheet, buyer cash equals down payment plus entered buyer charges, minus the earnest-money deposit and buyer credits. That simplified worksheet assumes charges are paid at closing. Use the mortgage purchase calculator when included costs were paid earlier or are financed.
For a hypothetical $500,000 purchase with $100,000 down, $8,000 entered charges, $10,000 deposit and $5,000 credits, remaining cash is $93,000. The $100,000 down payment is not itself a transaction fee. The deposit is credited once; it is not another closing charge.
Seller proceeds: separate payoff from fees
Start with sale consideration, then subtract the seller’s title, transfer, recording and other entered charges, commission, seller credits and mortgage payoff. The loan payoff reduces proceeds even though it is not a fee for transferring the property.
For a hypothetical $500,000 sale, assume $4,000 seller fees, $20,000 commission under the agreement, $5,000 credits and a $300,000 payoff. Proceeds are $171,000. The commission amount is an explicit example, not a required or standard rate.
Use the allocated tax amount
A state page may show combined tax components to explain the calculation, followed by separate buyer and seller results. Transfer only the amount assigned to your side. For example, a seller’s excise and a buyer’s island land-bank fee are not two amounts automatically owed by each person.
Locality, property use, transaction date and exemption eligibility can change the calculation. Choose the state worksheet, establish its required facts, and obtain a full quote when the transaction falls outside its stated scope.
Audit an unexpectedly low result
- Check whether title, legal, lender or local tax lines are still blank.
- Check whether the displayed number covers only transfer taxes.
- Check whether a quote already includes a charge entered elsewhere.
- Check that credits were assigned to the correct side.
- Check that the payoff and commission match current documents.
The general worksheet reports an entered subtotal; it does not invent missing provider fees. A zero optional line may mean no estimate was entered. State calculators also identify required facts that must be supplied before their supported calculation can resolve.
Reconcile with the closing documents
The CFPB’s Closing Disclosure guide explains the final loan and settlement figures, including deposits and credits. Compare the actual statement with your saved assumptions and resolve differences with the closing preparer.
Last reviewed 2026-10-02. How the worksheets calculate.
Questions about Closing Costs vs. Cash to Close vs. Seller Proceeds
- Why do buyer cash and seller proceeds differ?
- Buyer cash reconciles down payment, buyer charges, deposits and credits. Seller proceeds start with the sale price and subtract seller charges, credits paid, commission and loan payoff. Each side has a different ledger.
- Does a zero subtotal mean closing is free?
- No. On the general worksheet, an empty optional fee is omitted from the entered subtotal. Obtain the missing quotes before treating that subtotal as a complete budget.