What First-Time WA Sellers Don’t Realize About Closing Costs (2025 Guide)

Most first-time sellers in Washington know they’ll need to pay some fees at closing — but very few understand what those costs actually are, how they’re calculated, or how they impact their final net proceeds.

As a Washington Realtor who works with families all across Pierce County, JBLM, Thurston County, and King County, I see the same reaction over and over again:

“I didn’t know selling my home cost this much.”

This guide breaks down Washington seller closing costs in a clear, realistic way, so you know exactly what to expect long before you reach the closing table.

 

1. Washington Sellers Almost Always Pay the Largest Closing Cost: Agent Compensation

This is typically the biggest expense for sellers.
Compensation is agreed upon upfront during your listing agreement and is paid only at closing.

It covers:

  • Photography

  • Media and marketing

  • Staging consultation

  • Online syndication

  • Showings

  • Contract negotiations

  • Managing timelines

  • Inspection and appraisal strategy

  • Transaction management

  • Professional representation

Many first-time sellers assume the buyer pays this — but in Washington, sellers typically cover the full cost of listing compensation.

This ties directly into pricing strategy and why accurate market data matters:

Why Washington Sellers Still Think Their Home Is Worth More Than the Market Says (2025 Guide)
 

2. Escrow Fees Are Split — But They Still Cost More Than Most Expect

In Washington, escrow fees are usually split between buyer and seller.
However, most sellers underestimate:

  • Escrow service fees

  • Signing fees

  • Notary fees

  • Wire fees

The exact amount varies depending on your title/escrow company and your sale price.

 

3. Title Insurance Is Typically a Seller Expense in Washington

Most first-time sellers are shocked to learn they’re responsible for:

  • The owner’s title insurance policy

  • Title search

  • County recording charges

  • Reconveyance fees (removing your mortgage from the title)

These fees ensure the buyer receives a clean title and that your loan payoff is processed correctly.

This is one reason sellers must understand why timing matters when selling:

The Real Cost of Delaying Your Home Sale in Washington (2025 Seller Guide)
 

4. Washington Sellers Must Pay Excise Tax (REET)

This is one of the biggest closing costs for sellers — and one most people don’t even know exists until they go to sell.

Washington’s Real Estate Excise Tax (REET) is based on:

  • Your sale price

  • The tier your home falls into

  • Your county’s rate (Pierce vs. King vs. Thurston)

For many sellers, this tax is thousands of dollars on its own.

 

5. Repairs, Credits, and Buyer Requests Are Often Part of the Final Costs

During inspection, buyers can request:

  • Repairs

  • Credits

  • Price reductions

  • Safety fixes

Even well-maintained homes generate some level of buyer feedback.
And for first-time sellers, these costs often come as a surprise.

If you want a strong breakdown of how seller credits work in Washington, this guide walks through it clearly:

How Repair Credits Work in Washington (2025 Buyer & Seller Guide)

And if you’re wondering why buyers push back on repairs you didn’t expect, this guide explains exactly what they’re looking for:

WA Inspection Red Flags Buyers Should Never Ignore (2025 Guide)
 

6. Mortgage Payoff Isn’t Just the Remaining Principal

Your mortgage payoff at closing may include:

  • Remaining loan balance

  • Daily interest accrued

  • Additional fees depending on your lender

Many sellers are surprised when their payoff amount is higher than the number they see online.

 

7. Home Prep, Cleaning & Move-Out Costs Add Up

First-time sellers often forget to budget for:

  • Deep cleaning

  • Landscaping

  • Touch-up paint

  • Minor repairs

  • Junk removal

  • Carpet cleaning

  • Dump runs

Well-prepared homes consistently get stronger early interest.
If you want a simple, high-impact way to prep your home quickly, this guide outlines a practical plan:

WA Sellers: How to Prepare Your Home in 7 Days (2025 Guide)
 

8. You May Pay a Portion of the Buyer’s Costs (Depending on the Market)

In some situations, sellers agree to cover buyer expenses such as:

  • A portion of closing costs

  • Prepaid items

  • Interest rate buydowns

  • Repairs

  • Credits

This is more common in slower markets or with FHA/VA buyers who need flexibility.

While not required, it is part of many successful negotiations — especially when properly strategized.

 

9. Overpricing Leads to Even Higher Costs

Washington sellers who overprice often end up spending more, not less.

Delaying your sale often means:

  • More months of mortgage payments

  • Reduced buyer activity

  • Price reductions

  • Extra maintenance

  • More prep work

  • Potential added repair requests

These cost sellers thousands — and are one of the biggest surprises for first-time sellers.

Here’s the full breakdown of why this happens:

Why Homes Sit on the Market in Washington — Real Reasons Sellers Don’t Expect
 

10. Your Final Net Number Is What Truly Matters

First-time sellers often ask:

“How much will I make after everything?”

Your net sheet includes:

  • Sale price

  • Loan payoff

  • Closing costs

  • Credits

  • Repairs

  • Taxes

  • Escrow/title fees

  • Your remaining equity

Understanding this number early helps you plan your next move realistically — especially if you’re buying and selling at the same time.

This guide walks through strategies for avoiding gaps or rushed decisions during a simultaneous move:

How Not to Be Homeless: A Washington Guide to Buying & Selling at the Same Time
 

Final Thoughts

Closing costs aren’t meant to surprise you — but they often do when sellers aren’t prepared. When you understand what to expect, you can plan confidently, budget accurately, and move into your next chapter without stress.

If you're planning a move in Washington, I’d love to help you create a plan that actually makes sense for your timeline and budget.

 Written by: Lani Fisher — Washington Realtor Helping Everyday Buyers & Sellers With Confidence

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