Money · Answer
Who pays the commission and closing costs?
The short answer
The commission and the sellers' closing costs are usually paid out of the sale proceeds at closing, before anything is divided between you. Neither of you writes a check unless the proceeds fall short. The commission is negotiable and is set in writing in the listing agreement. How the remaining money is divided is up to your agreement or your divorce judgment.
- 01
It comes off the top
At closing, the title or escrow company prepares a settlement statement that lists every dollar. The price is at the top. Below it come the loan payoffs, the commission, title and escrow charges, any agreed credits to the buyer, and prorated property taxes, and what's left at the bottom is the proceeds. Both of you see the same statement before you sign.
Nobody pays out of pocket. Unless the house is underwater.
- 02
The fee is set in writing
Commission is negotiable, and I won't quote a rate on a web page. It's agreed and written into the listing agreement, along with how long the listing runs and what happens if the house doesn't sell. I send the draft to both of you at the same time, so neither of you is agreeing to terms the other hasn't seen.
Read it before you sign it. If you have attorneys, send it to them too.
If either of you wants to negotiate the fee, the time is before the listing agreement is signed, and I'll have that conversation with both of you in the same email or the same meeting, never with one of you on the side.
- 03
How the cost lands in the split
Because the costs come out before the proceeds are divided, you share them in whatever proportion you share the proceeds. If you've agreed to something different, such as one of you covering a particular repair credit, put it in your written agreement and in the closing instructions. When a judge divides property, ORS 107.105(1)(f) lets the court consider reasonable costs of sale.
If the payoffs and costs add up to more than the price, read what if we owe more than the house is worth? next, and see what happens to the money at closing for the order it moves.
Ask before you sign.
- 04
Seeing the numbers early
You don't have to wait until closing to know roughly what you'll net. Before we list, I prepare an estimate of the seller costs using the fee in the draft listing agreement and the title company's figures, and I send it to both of you on the same day. It's only an estimate. Once you accept an offer, the title company issues a preliminary statement with real figures, and that's the document to hand your attorneys.
Sources · checked 23 Oct 2026
Confidential consult
Your situation, specifically.
Tell me where things stand. I’ll tell you what the sale could look like for your situation, and what to ask your attorney first.