Selling Costs · Shelton, Fairfield & New Haven County

How Much Will I Walk Away With? Every Cost of Selling a House in Connecticut

The price on the contract is not the money you take home. Between the sale price and your check sit commissions, Connecticut's conveyance tax, your attorney, the property tax adjustment, repair credits, the months you keep paying for the house, and sometimes tax on your profit. This guide walks through every one of them, with real Connecticut rates, a worked example for a Shelton house, and a worksheet you can fill in tonight.

Written by Dan Riccio, Helpful Home Buyers, Shelton, CT · Facts checked: November 2026 · Includes a fill-in net proceeds worksheet

Most people start with one number: what the house will sell for. That's the right place to start, but it's not the number that pays off the mortgage, covers the move, or goes into the bank. That number comes later, on the settlement statement your attorney hands you at closing.

We see those statements all the time, from the buyer's side and the seller's side, and the surprises are usually the same ones: a conveyance tax nobody mentioned, a repair credit that grew after the inspection, or three extra months of paying for a house that was supposed to be sold. None of it is hidden. It just isn't added up in one place. So here it is, added up.

What are all the costs of selling a house in Connecticut?

Here's the whole list. Some costs are fixed by law, some are negotiated, and some depend on time. Knowing which is which tells you where you have room to save.

Two things are missing from that table on purpose. Your down payment and principal paid over the years aren't costs of selling; they're equity you're getting back. And the mortgage payoff isn't a cost either. It's money you already owe, but it comes out of the same closing check, so it belongs on your worksheet.

How much is real estate commission in Connecticut after the NAR settlement?

There is no standard commission in Connecticut, and there never was one set by law. Commission is whatever you and the brokerage agree to in the listing agreement. What changed in 2024 is how the buyer's side gets paid.

What changed on August 17, 2024

The National Association of REALTORS® (NAR) settled a set of lawsuits over agent commissions, and its practice changes took effect on August 17, 2024. Three of them matter to a seller (source 3):

• Offers of compensation to buyer agents can no longer be published on the MLS. Before, a listing could show the buyer's agent what they'd be paid. Now that conversation happens off the MLS, if at all.
• Buyers working with an agent sign a written agreement before touring a home. That agreement spells out what the buyer's agent will be paid, which means the buyer is now thinking about that cost too.
• Agreements must say plainly that compensation is not set by law and is fully negotiable.

What that means for you: you can still agree to pay some or all of the buyer's agent compensation, or you can offer the buyer a concession toward their costs, or neither. Many buyers will ask. The answer is part of the negotiation, the same way price and repairs are.

What different commission levels cost on a $550,000 sale

Because there's no standard rate, the best way to see the stakes is to run the math. The percentages below are just a range for comparison, not norms or recommendations.

Simple arithmetic: price × percentage. Commission is not set by law and is negotiable (NAR practice changes, effective August 17, 2024).

Each percentage point on a $550,000 house is $5,500. That's the same as the entire conveyance tax at that price. It's worth a real conversation, and a good agent won't mind having it. A lower fee isn't automatically a better deal, though. An agent who prices well and negotiates well can earn their fee back in the price, and one who doesn't can cost you more than any commission saving.

How much is the Connecticut conveyance tax when you sell a house?

Connecticut charges a tax on the deed whenever real property sells for $2,000 or more. It has two parts, a state part and a town part, and the law says it's "payable by the person conveying the property", which is the seller (CGS § 12-495). It's paid to the town clerk when the deed is recorded, along with a conveyance tax return, and the clerk won't record the deed without it (CGS § 12-497).

The rates for a home

Source: CGS § 12-494. The higher state rates apply only to the part of the price in each band, on residential sales of $800,000 or more. The top 2.25% band has applied since July 1, 2020. Non-residential property has its own rate.

Two details people get wrong:

• It's tiered, like income tax brackets. A $900,000 sale doesn't pay 1.25% on the whole price. It pays 0.75% on the first $800,000 and 1.25% on the last $100,000 for the state part.
• Some towns may charge more. State law lets a "targeted investment community," or a town with properties designated as manufacturing plants, add a town conveyance tax of up to another 0.25% (CGS § 12-494(c)). So the town part can be as high as 0.50% in those places. Ask your attorney or the town clerk what your town charges.

What the tax comes to at common prices

Worked from CGS § 12-494 using the base 0.25% town rate. Example at $1,200,000: 0.75% × $800,000 = $6,000, plus 1.25% × $400,000 = $5,000, plus the town's 0.25% × $1,200,000 = $3,000. At $3,000,000: $6,000 + $21,250 (1.25% × $1,700,000) + $11,250 (2.25% × $500,000) + $7,500.

When the conveyance tax doesn't apply

CGS § 12-498 lists exemptions. Most won't apply to an ordinary sale, but a few matter to homeowners in a hard spot. Your attorney decides whether you qualify, so treat this as a list of questions to ask, not answers:

• Sales for less than $2,000, and transfers for no money at all (the tax is on the consideration).
• A sale of your principal residence for less than what's owed on the mortgages and certain priority town liens or taxes, so the price can't cover them.
• A deed in lieu of foreclosure on your principal residence, and deeds under a foreclosure by market sale or certain loss-mitigation judgments.
• A principal residence with a crumbling foundation from pyrrhotite, with a licensed engineer's written evaluation (not available if you received help from the Crumbling Foundations Assistance Fund).
• Relief from the state part for a principal residence of someone approved for certain state property tax relief programs for older or totally disabled homeowners.
• Transfers between spouses, and deeds that only change the form of ownership without changing who really owns it.

How much does a real estate attorney cost to sell a house in Connecticut?

In Connecticut, closings are handled by attorneys, and most sellers hire their own. Your attorney typically reviews or drafts the contract, orders your mortgage payoff, clears up title issues, prepares the deed and the conveyance tax return, works out the closing adjustments, and makes sure the money goes where it should.

Fees vary by attorney and by how complicated the file is, so we're not going to quote you a typical number. The practical advice is simple: ask for a flat-fee quote in writing before you sign a contract, and ask what it doesn't cover. Things that can add time and cost include an estate or trust as the seller, a short sale, an old unreleased mortgage on the land records, a boundary or permit issue, or a buyer whose financing keeps changing.

The small items that show up on the settlement statement

• Mortgage payoff, with interest to the payoff date. Mortgage interest is charged for the days up to payoff, so the payoff letter will be higher than your last statement's balance. A home equity line needs to be paid and closed too.
• Payoff and release charges some lenders add, and any overnight or wire fees.
• Any unpaid town bills. Back taxes, sewer use charges, or other municipal amounts must be settled.
• Condominium or association items, like unpaid common charges or a resale document the buyer needs.
• Fuel oil or propane in the tank. Ask your attorney whether your contract includes an adjustment; if it does, it can be a credit to you.

How are property taxes prorated when you sell a house in Connecticut?

Connecticut property tax works on a few simple rules. Every town assesses property as of October 1, at 70% of its market value as of the town's last revaluation (CGS § 12-62a). Taxes are billed on a fiscal year that runs from July 1 to June 30, usually in installments.

Shelton is a good example. Its tax notice for the 2026–2027 fiscal year sets the mill rate at 15.51 mills on the October 1, 2025 grand list, with real estate due in two installments: the first due July 1, 2026 (pay by August 3 to avoid interest), and the second due January 1, 2027 (pay by February 1). Late payments are charged interest at 1.5% a month from the due date (source 6).

At closing, your attorney and the buyer's attorney split the fiscal year's tax by the day. The logic is simple:

• If you've already paid tax for days after the closing, the buyer credits you for those days.
• If tax for days you owned the house hasn't been paid yet, you credit the buyer, who will pay that bill later.

Either way, you end up paying tax for exactly the days you owned the house. The adjustment can be a credit or a charge on your statement depending on when you close, which is why it surprises people. It isn't an extra cost of selling. It's your share of a bill you'd owe anyway, settled up. Towns and attorneys handle the details a little differently, so ask your attorney for an estimate of this line before closing.

How much should I budget for repairs and credits after the home inspection?

Most buyers hire a home inspector after you accept their offer. The inspection report usually leads to a second round of negotiation. That round costs sellers more money, more often, than any other step, because by then you've mentally spent the price.

The three ways it usually goes

Big-ticket items drive the size of these requests: roofs, heating systems, water in the basement, septic systems, electrical panels, an old oil tank, structural cracks, radon, and well water quality where there's a well. If you already know about one of these, you have two honest choices: fix it before listing, or price it in and disclose it. Either is better than finding out together with the buyer three weeks into the contract.

Two Connecticut disclosure rules that can cost you money

The Residential Property Condition Disclosure Report. Connecticut requires most sellers of one- to four-unit homes to give the buyer a written condition report before the buyer signs a binder or contract (CGS § 20-327b). If you don't, the contract must give the buyer a $500 credit at closing (CGS § 20-327c), and the credit doesn't excuse you from disclosing a known defect that significantly hurts the home's value, safety, or useful life. Executors, administrators, trustees, and a few others are exempt from the report.

The smoke and carbon monoxide detector affidavit. At closing on a one- or two-family home or a unit in a common interest community, the seller must give the buyer a signed affidavit that the home has working smoke detectors in or near each bedroom and carbon monoxide detectors (or that the home has no fuel-burning appliance, fireplace, or attached garage) (CGS § 29-453). Test every detector before closing day. Batteries are cheap; a last-minute scramble isn't.

Lead paint, for homes built before 1978. Federal law requires sellers to disclose known lead-based paint and hazards, give the buyer the EPA's lead warning information, and give buyers a 10-day chance to have a lead inspection, which buyers can waive or the parties can change in writing (source 9).

Getting ready to list

Separate from inspection repairs, most sellers spend something to get the house ready: a deep clean, paint, small fixes, landscaping, a dumpster for the attic and basement, maybe staging. These are the costs with the most range, from a weekend of your own work to tens of thousands of dollars. Spend where buyers will see it and where it fixes a real objection. Cleaning, paint and repairs that remove red flags usually beat cosmetic upgrades.

How much does it cost each month to own a house while it's for sale?

Every month between deciding to sell and closing, you keep paying for the house. That's normal, and you'd pay most of it if you weren't selling. It becomes a real cost of selling when the timeline stretches: an overpriced listing, a deal that falls through, a move that happens before the sale, or two homes at once.

Here's what one month costs for our example house. Your numbers will be different, so treat this as a template.

Illustration (est.). Property tax is split by the day at closing, so we keep it separate in the example below.

If the house will be empty

Vacant houses bring their own costs and risks. Before you move out, call your insurer, tell them the house will be empty, and ask exactly how your policy treats a vacant home. Then read that section yourself. Keep the heat on in winter so pipes don't freeze, have someone check the house weekly, and keep the walks clear. A burst pipe in an empty house in February can turn a sale into an insurance claim.

Do I have to pay capital gains tax when I sell my house in Connecticut?

Most people selling the home they live in owe no federal tax on the profit, because of the home-sale exclusion. Here's how it works, and when it doesn't cover you.

The federal exclusion

If you have a gain from selling your main home, you may exclude up to $250,000 of it from your income, or up to $500,000 if you file jointly with your spouse. To qualify, you generally must have owned the home and used it as your residence for at least 24 months of the 5 years before the sale (for a married couple filing jointly, either spouse can meet the ownership test, but both must meet the use test). You generally can't use the exclusion if you used it on another home in the 2 years before (IRS Topic 701, source 7).

How to figure your gain

The IRS math is: selling price, minus selling expenses = amount realized. Amount realized, minus adjusted basis = gain. Selling expenses include commissions, legal fees, and advertising. Your basis starts with what you paid for the home and goes up with improvements, things that add value, extend the home's life, or adapt it to new uses, like an addition, a new heating system, or a new roof. Ordinary repairs don't count unless they're part of a bigger improvement project (IRS Publication 523).

When you might owe tax

• Your gain is bigger than the exclusion. Long-time owners in Fairfield County can get there, especially single sellers. Keep every receipt for improvements; they lower your gain.
• It isn't your main home, like a rental, a second home, or a house you inherited and never lived in.
• You don't meet the 2-of-5-year tests, and no exception applies. Publication 523 lists exceptions and partial exclusions for moves due to work, health, and certain unforeseen events.

The federal rates on a taxable gain

A gain on property you owned more than a year is a long-term capital gain. For 2025, the federal rate on most net capital gain was 0%, 15% or 20% depending on your taxable income, with the 20% rate starting above $533,400 for single filers and $600,050 for married couples filing jointly (IRS Topic 409). Higher earners may also owe the 3.8% net investment income tax, which applies above $200,000 of modified adjusted gross income for single filers and $250,000 for joint filers (IRS Topic 559). The thresholds change every year, so check the current figures.

Connecticut income tax

Connecticut doesn't have a separate capital gains rate. A taxable gain becomes part of your Connecticut income and is taxed under the state's regular income tax brackets, which for 2024 and later run from 2% to 6.99%, with some extra phase-outs at higher incomes (CGS § 12-700). If your gain is fully excluded federally, it generally doesn't show up in your Connecticut income either, because Connecticut starts from federal adjusted gross income.

Worked example: what a typical Shelton seller walks away with

Let's put it together for one example house: a three-bedroom colonial in Shelton that sells for $550,000 through a listing agent. The owner bought it in 2012, owes $230,000 on the mortgage, and closes about four months after deciding to sell. Every figure is an illustration, so plug in your own.

Illustration only (est.). Not a quote, an appraisal, or a prediction for any specific house.

A few things to notice. The costs of selling come to about $52,100, or about 9.5% of the price, and only the conveyance tax is fixed by law. Commission is the biggest single line and the most negotiable. And the federal gain on this sale, about $155,000 under the example in the tax section, is under the $250,000 exclusion, so it adds nothing.

What changes the answer most

• A higher price above $800,000. The state conveyance tax jumps to 1.25% on the part above $800,000.
• The house needs work. Bigger inspection items mean bigger credits, or a lower price to begin with.
• Time. Each extra month adds roughly another $1,400 to $1,900 in this example.
• Commission and buyer-agent terms. Each point is $5,500 at this price.
• Gain above the exclusion. Rare for most owner-occupants here, but real for some long-time owners, rentals, and inherited homes.

How do I estimate my own net proceeds?

You can get a good estimate in half an hour with your mortgage statement, your tax bill, and an honest guess at the price. Fill in the worksheet, then ask your attorney or agent to check it before you list.

1. Start with a realistic price. Use recent nearby sales of similar homes in similar condition, not the asking price of the house down the street. If you're not sure, use a range and fill in the worksheet twice.
2. Get a payoff estimate. Your lender can give one. Include any home equity line.
3. Ask about commission in writing. Include anything you might agree to pay toward the buyer's agent or the buyer's costs.
4. Work out the conveyance tax with the table above. Check whether your town charges more than 0.25%.
5. Be honest about condition. List what an inspector will flag, and price it.
6. Count the months. From today until a realistic closing date, times your monthly carrying cost.
7. Check the tax. If your gain could be near or over the exclusion, talk to a tax professional now.

How can I keep more of my sale price?

• Negotiate commission before you sign. Each point is real money. Ask about flat fees, and ask how buyer-agent compensation will be handled.
• Compare offers on net, not price. An offer $10,000 higher with a big closing-cost credit, a weak loan, and a long inspection list can net less than a lower, cleaner offer.
• Give the buyer the condition report. It costs nothing to fill out honestly and avoids the $500 credit.
• Fix the red flags you already know about, or price them in up front. Surprises in the inspection cost more than known issues.
• Price it right the first time. Overpricing usually costs months of carrying costs and often a lower final price.
• Ask your attorney about exemptions if you're selling for less than you owe, have a crumbling foundation, or qualify for state tax relief as an older or disabled homeowner.
• Keep receipts for improvements. They raise your basis and can lower or erase tax on your gain.
• Pay attention to timing. A closing date that avoids an empty house over the winter, or a second month of double housing costs, saves real money.
• Check your town's tax bill and assessment so the adjustment at closing is no surprise.

How do the costs compare if I sell a different way?

Not every sale goes through a listing. Here's how the cost groups above change with the three common routes. None is right for everyone; the best one depends on your house, your timeline, and how much work you want to take on.

The honest way to compare is to fill in the worksheet for each route and look at line D. For a house in good shape on a flexible timeline, listing often nets the most. For a house that needs a lot of work, an estate sale, or a seller who needs to move quickly, the gap can be smaller than the price difference suggests, and sometimes the certainty is worth more than the last few thousand dollars.

Frequently asked questions

Who wrote this

Dan and Meghan Riccio run Helpful Home Buyers in Shelton, Connecticut. They have more than 15 years of experience buying and renovating houses, so they read settlement statements, repair estimates and carrying-cost budgets on almost every house they see. Dan got his start in residential landscaping and grew a passion for turning properties around. He and Meghan have handled everything from simple updates to full-gut renovations.

Helpful Home Buyers, 456 Howe Ave, Shelton, CT · (203) 625-1895 · More about Dan and Meghan