On average, sellers in Indiana can expect to pay 2.81% of their home's final sale price in closing costs. For a $227,165 home — the median home value in Indiana — you'd pay around $6,384.
Realtor commission fees are also paid at closing and are usually the biggest expense for sellers in Indiana. However, this is also the one fee that you can easily save on. By using an agent-matching service like Clever Real Estate, you can reduce your listing agent commission by thousands.
Clever pre-negotiates low listing fees with experienced agents from top brokerages so you can keep more money in your pocket after closing.
Keep reading to find out which closing costs sellers typically cover in Indiana and how much you can expect to pay for each of them.
Need estimates for your sale? You'll also find our Indiana seller closing costs calculator!
How much are seller closing costs in Indiana?
Seller closing costs are fees and taxes you pay when you finalize the sale of your home in Indiana. These include the costs of verifying and transferring ownership to the buyer, so most are unavoidable.
Indiana seller closing costs
Typically paid by buyer
Typically paid by buyer
No transfer tax in Indiana
*Based on a sale price of $227,165, the typical home value in Indiana (Zillow August 31, 2022)
Keep in mind that closing costs in Indiana do not include realtor fees. These are an extra 5.66% on average — and they're nearly always paid by the seller.
These closing costs are only an estimate. While closing costs will always have to be paid, your real estate agent can often negotiate who pays them — you or the buyer.
If you want to get the most out of negotiations, you'll need an experienced agent who has your best interests in mind. Clever can help by matching you with a top agent in your area who can score you a great deal.
Title service fees: 0.47%
Title fees cover the costs of the title search and title transfer.
When you sell your home, you have to transfer legal ownership of the property to the buyer. To ensure there are no claims or liens on your home, your settlement agent will complete a title search.
In Indiana, buyers and sellers usually pay for their own title company or closing agent, but don't expect this for every sale. Ask your realtor if you're not sure.
Owner's title insurance: N/A
Owner's title insurance protects the buyer if there's a problem with the property title. It will pay for any legal fees if mistakes are found — or potentially even reimburse the value of the home.
In Indiana, it's more common for the buyer to pay for owner's title insurance.
However, it's always possible to negotiate who pays what.
Lender's title insurance: N/A
Just like owner's title insurance protects the buyer, lender's title insurance protects the bank or financial institution that issued the buyer a mortgage.
In Indiana, the buyer usually pays for lender's title insurance, so you're off the hook. Still, it's always possible the buyer will try to get you to pay for this in negotiations, so make sure you have a quality real estate agent looking out for your best interests.
Transfer tax: No transfer tax in Indiana
Good news — Indiana doesn't charge a transfer tax for transferring your home's title to its new owner. Still, you might not be completely off the hook.
Some cities and counties also charge their own transfer tax. Check with your realtor and title company to see what taxes you'll owe in your area.
Indiana recording fees: 0.01%
Your city or county will charge a fee to legally record your property's deed and mortgage information. The exact amount will vary based on your location, but you can expect to pay around $25 in Indiana — although you might be able to negotiate for the buyer to cover this cost.
Buyer incentives: 2%
Buyer incentives can help you secure a sale in tough markets by making it easier or more appealing for a buyer to purchase your property. You can pay some of the buyer's closing costs, offer repair credits, or include valuable items in the sale of the home.
The average amount sellers spend on buyer incentives in Indiana comes to about $4,543.
Other Indiana closing costs for sellers
Every Indiana home sale is unique, and many come with a few surprise fees. Here are a few of the most common additional costs you may face selling your Indiana home:
- Homeowners Association (HOA) fees
- Mortgage payoff and/or prepayment penalties
- Property appraisal fees (averages $310)
- Attorney fees (optional in Indiana, averages $140)
» LEARN: The total cost of selling a house
Your realtor will have a better idea of the closing costs you can expect to pay, depending on the Indiana neighborhood you're selling in and other factors.
An experienced agent can do a lot more than market your property and negotiate with buyers. Top realtors — like the ones Clever partners with — will have the local knowledge necessary to maximize your profits and understand what buyers in the area are looking for in a new home.
Indiana closing costs calculator
Your total closing costs will ultimately vary based on your home's value, local fees, and negotiations with your buyer.
Use this Indiana closing costs calculator to better understand how much money you'll actually take home after closing.
How to save on Indiana closing costs
While closing costs aren't usually the biggest expense for sellers in Indiana, there are a few ways to reduce these fees.
Negotiate for the buyer to pay
If you're selling in the middle of a hot seller's market with low housing inventory, you could ask the buyer to cover some of your closing costs.
Competition among buyers is fierce in these market conditions, so they're typically more willing to make concessions so you'll accept their offer on your Indiana home.
When you're selling in a buyer's market, however, they'll likely ask you to make more concessions since you won't be getting as many offers.
Shop around for better prices
It might be possible to save some money by shopping around for cheaper rates on services like title insurance and closing fees.
However, these costs are relatively low and tend to be fairly consistent among different companies. When you're already navigating inspections, repair requests, and appraisals, calling several different companies to find a $50 discount probably isn't worth the hassle!
Save on realtor fees
The best way to reduce your selling costs is to find a realtor who charges lower listing fees. In Indiana, real estate commission costs an average of $12,858 — that's usually more expensive than the rest of your closing costs combined!
Thankfully, there's a way to save big by selling with Clever. With listing fees of just 1.5%, you'll save up to 50% on realtor commission, putting more money in your pocket.
Frequently asked questions
In Indiana, expect to pay about 2.81% of your home's sale price in closing costs — not including realtor fees. At the median home value of $227,165, this equates to around $6,384 at closing. Learn more about what makes up seller closing costs in Indiana.
Buyers and sellers each pay for different closing costs to finalize a sale. In Indiana, sellers typically pay for title fees, documentary stamp taxes, owner's title insurance expenses, and recording fees at closing. Learn more about who pays closing costs in Indiana.
Indiana closing costs are usually taken right out of your sale profits at closing. The only time you'd have to pay out of pocket is in rare instances where your takeaway won't completely cover closing costs. If you're worried about these, check out our tips on how to save money on closing costs.