Average Cost to Sell a House in Michigan

Alex Long

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Alex Long

September 1st, 2022
Updated September 1st, 2022

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Find out the average cost of selling a house in Michigan

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If you're considering selling your Michigan home, don't forget you won't net the entire sale price. You'll need to pay to prep your home, hire a great realtor, and close on the sale.

In fact, the average home seller in Michigan spends about 14.31% of the sale price on costs related to selling their house.

That may sound like a lot — because it is — but fortunately, Clever Real Estate can help! If you work with Clever, we'll connect you with a full-service agent from a top broker that charges just 1% or $3,000 (if the sale price is less than $350,000) to list your home.

Since the average listing agent in Michigan charges 2.77%, that means you could save $3,556 selling a median-priced Michigan home for $236,675.

💰 Compare hand-picked agents, sell for 1%

Find top-rated agents from local brokerages, and get pre-negotiated listing fees of just 1%.

Clever's service is 100% free, with zero obligation. Interview as many agents as you like until you find the perfect fit — or walk away at any time.

Average cost to sell a house in Michigan

The cost of selling a house in Michigan varies quite a bit depending on your location, the value of your home, and the sale price. Selling a house in Detroit, for example, will probably cost a lot less than selling a house in Ann Arbor.

The average home seller in Michigan spends about 14.31% of the sale price on all of the expenses related to selling their house. If you sold a house for $236,675, that would come to about $33,861 in total sale costs.

If you want to know how much it would cost to sell your house, check out our home sale calculator below.

Common expenses for home sellers in Michigan

Below are some typical expenses you can expect to pay when selling a house in Michigan. This isn't a comprehensive list, but it covers some of the most common and major items you'll need to budget for.

Since the actual cost of these items can vary so much, you should talk to your realtor for expert advice on what to expect when selling your home.

Common expenses
Estimated cost*
$200 to $6,672
🏘️ Realtor fees
$11,668 to $15,053
$5,381 to $12,238
$361 to $3,703
Total
$17,610 to $37,666
*Based on a $236,675 home — a typical home value in Michigan, (Zillow Research data, August 31, 2022)

Most closing costs are non-negotiable, but there are ways to save money on home preparation and moving costs. The best opportunity to save money, however, is by lowering the amount you spend on realtor commissions.

You can do this by selling for sale by owner (FSBO) or by hiring a discount real estate broker. Selling FSBO might sound more appealing because you completely eliminate the listing agent's fee, but you'll still probably have to pay a buyer's agent fee. You could also get significantly less for your home in the end.

Your best option is to work with a company like Clever that negotiates lower commissions with full service, local agents on your behalf. That way you can save money while getting the same level of service as someone who pays full price!

How much will I make selling my Michigan house?

If you don't owe anything on your house, the total profit is the sale price minus the cost to sell your home. The average Michigan home seller spends 14.31% of the sale price on selling costs, which means you could make $202,814 selling a $236,675 house — the median home price of homes sold in Michigan.

If you're like most sellers, you have a mortgage that needs to be paid off as well. The average Michigan home owner owes $135,845, which will be subtracted from the sale proceeds to figure your total profit.

» MORE: See what other factors affect your home sale profit

Your real estate agent should also provide you with a seller's net sheet, which will give you a custom tally of expenses and how much you could walk away with.

Cost of selling a house calculator

Use this home sale calculator to get a better idea of how much you have to spend to sell your home — and how much you'll take home after!

Home selling costs in Michigan: An in-depth breakdown

🚨 Disclaimer: We’ve compiled an overview of some of the most common home selling costs in Michigan. This guide is not 100% comprehensive, and actual costs will vary from one house to another. Talk to your real estate agent and lender for the most accurate sense of how much it will cost to sell your home.

Preparing your home for sale

Unless you're in a very hot seller's market, most homes need some kind of prep to be ready for listing. Alternatively, some buyers opt for selling "as is" or to an iBuyer.

iBuyers purchase homes in their current condition with no required improvements, saving you time and money. The downside is they tend to offer below market value in exchange for convenience.

If you're interested in how much an iBuyer would offer for your house, fill out the form below to compare offers from top cash buyers.

If you decide to do a traditional listing, you should talk to your realtor about what methods of home prep will get the most bang for your buck. Some homes only need a deep cleaning and decluttering, whereas others could use more substantial repairs and updating.

» MORE: Specific costs of prepping your home for sale

🌟Ask an expert

Deep cleaning is the number one thing I recommend to all sellers. Everyone has a different opinion of what clean is, so in order to appeal to the broadest demographic it is best to leave the cleaning to professionals to ensure that everyone who walks through your home is able to see it in its best state possible.

The next thing is basic lawn care. Nothing special is needed but make sure the yard is mowed, the weeds are pulled, the trees are trimmed and mulch is fresh. First impressions are everything and the first thing everyone notices is how well the yard is maintained.

  • Jake Davis, Brookstone Realtors

Realtor fees in Michigan

There is often a lot of confusion about who pays realtor fees and how much they cost.

In a standard real estate transaction — one involving two traditional, full-price agents — you'll likely be on the hook for covering the full commission fee for both agents as the seller. That said, commissions usually come out of the final sale price, so you don't need to come directly out of pocket for this.

Realtor fees in Michigan
% of sale price
Cost*
Listing fee
2.77%
$6,556
Buyer's agent fee
2.88%
$6,816
Total
5.65%
$13,372
*Based on a $236,675 home — a typical home value in Michigan, (Zillow Research data, August 31, 2022)

» LEARN: How realtor commission is split in a home sale

In Michigan, the average home seller spends about $13,372 on realtor fees — that could be more than half of your total home selling expenses!

What many people don't realize is you don't have to pay that much. Clever negotiates discounts with top listing agents that can save you thousands of dollars when you sell your home!

💰 Clever pre-negotiates low commission rates for you!

List with the best agents in your area for just $3,000 or 1%:

  • Sell with a full-service agent from a top brokerage
  • No upfront fees — you only pay when your home sells
  • Our agent matching service is 100% free with zero obligation

Closing costs

Besides the commission fees, most sellers' primary concern is who pays for closing costs. Closing costs are the various fees and expenses both buyers and sellers pay at the close of a real estate transaction.

Common closing costs in Michigan
Typical % of sale price
Estimated total*
Title insurance (owner's policy)
N/A
Typically paid by buyer
Title insurance (lender's policy)
N/A
Typically paid by buyer
Transfer tax
0.86%
$2,035
Title fees
0.42%
$999
Recording fee
0.02%
$50
Buyer incentives
2%
$4,734
Total
4.27%
$10,114
*Based on a $236,675 home — a typical home value in Michigan, (Zillow Research data, August 31, 2022)

You may be able to negotiate some closing costs and who pays for them, but this can go both ways.

In a seller's market, you might get the buyers to cover half or more of the closing costs. However, they may request you cover some or all of them in a buyer's market. If there isn't a ton of demand for your house, you may even need to offer additional incentives or make some concessions to complete the sale.

» MORE: How much are seller closing costs in Michigan?

Moving expenses

The average cost to move in Michigan is about $361 for local moves and $3,703 for 1,000 miles or more — which accounts for packing supplies, movers, and carrying costs.

» MORE: See how much the average seller spends on moving expenses

You should also keep in mind that if your new place isn't ready for all your stuff, you'll need to pay for storage and to move all your belongings twice. This could significantly increase your cost to move.

🌟Ask an expert

When it comes to the whole process of selling your home, a hidden cost is moving. Whether you do it yourself, hire movers or rent a truck/trailer to move with some extra help, this cost is always more than most sellers expect so I always recommend having at least $1-2k budgeted for the move.

  • Jake Davis, Brookstone Realtors

How to avoid losing money on your Michigan home sale

Regardless of whether you're selling a duplex in Warren, a townhouse in Lansing, or a single-family home in Grand Rapids, there are steps you can take to avoid wasting money when selling your home.

1. List with a low commission real estate agent

The largest portion of your costs to sell a house go toward agent commissions. So, the best way to save is to keep that cost low without losing valuable expertise that gets you the highest sale price.

Clever matches you with local full-service agents from well-known brokerages like RE/MAX, Keller Williams, and Century 21. But, instead of paying the typical 2.77% listing fee, you'll only pay 1% or $3,000 (for homes under $350,000). On average, sellers save over $3,556 on realtor fees!

With Clever, you can compare multiple Michigan agents to find the one that best fits your needs. Even better, finding an agent through Clever won't cost you a dime, and there's no obligation to move forward until you find the perfect agent.

Work with a full service agent for only 1% or $3,000!

Clever negotiates discounted listing fees with top agents to help you save money when selling your home!

2. Time your sale to get top dollar for your Michigan home

When selling in Michigan, try to target the end of spring to the start of summer. For the most profit, June is the month to remember, as listing prices go up by about 15% over the annual average. Meanwhile, May is when it’s fastest to sell, with listings typically closing in less than a month. On the other hand, January is the month to avoid, as it’s when listing prices plummet and homes take the longest to sell.

One major factor for this trend is the weather. Buyers aren’t keen on gritting through the cold to buy a house — and this pent-up demand carries over to the summer, when the market blows up. Summer is also when families are looking for a home to settle into before the new school year rolls around.

To up your chances of selling, price your home well and put nearby family-friendly amenities, like school districts and parks, in your listing. Better yet, work with a realtor, as they can help you price your home competitively and market it effectively.

Realize that local markets have their own intricacies that may not follow the overall state trend. A local expert can help guide you through your specific situation and recommend the best approach.

» MORE: When is the best time to sell a house in Michigan?

3. Negotiate like a pro

Many sellers don't realize how important it is to be a great negotiator when selling their house. This is usually one of the biggest financial transactions of a person's life, so you want to get the best deal possible.

Unfortunately, most people don't negotiate real estate deals well, especially when they're emotionally attached to the home. That's why working with a top agent is a smart move.

» MORE: Negotiate so both the seller and buyer get something they want

That said, a softer market might mean you have to do some repairs before the buyer is willing to close.

If you don't want to make repairs yourself, we recommend letting HomeAdvisor connect you with top local professionals. You can compare quotes and shop around to get the best possible price.

4. Save on repairs and upgrades

Another way to save money is shopping around and looking for discounts if you need to buy or replace appliances. For example, companies like Whirlpool may give you 10% off when you buy two or more full-priced appliances.

You can also cut down on labor costs by using services like TaskRabbit. Whether it be cleaning, landscaping, installing appliances, or moving, TaskRabbit can connect you with people in your area who will help for less than a full-time professional would charge.

FAQs about costs to sell in Michigan

Closing costs in Michigan are usually about 4.27% of the sale price, or $10,114, on average. That said, this doesn't include realtor commissions, which make up the largest portion of your expenses and run about 5.65% of your sale price.

The average home seller in Michigan spends about $33,861, or 14.31% of the sale price. This can vary widely depending on the state of the market and condition of your home, but working with an agent who offers a discounted rate will be a great help in keeping this cost down.

In 2021, the average Michigan home seller made about $202,814 on their home sale before paying off their existing mortgage, if they had one. For a more specific idea of what you can expect to walk away with, check out our home sale proceeds calculator.

Additional resources for Michigan home sellers

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