Preparing a net-proceeds worksheet before choosing an offer
Construct a precise net-proceeds worksheet to evaluate multiple offers by accounting for listing fees, taxes, and mandatory disclosures.
The short answer
A net-proceeds worksheet identifies your actual take-home amount by subtracting brokerage fees, potential buyer-agent commissions, and estimated closing costs from the gross offer. In Illinois, you must also consider mandatory Residential Real Property Disclosure Act compliance costs and potential capital gains tax implications based on your ownership and residence history.
Accounting for Contractual Fees and Commissions
Begin by listing your gross offer price. Subtract your plan's listing fee (1% to 2.49%) and the standard $495 transaction fee. Then, account for the negotiated buyer-agent commission and any buyer-bringing fees applicable to your specific plan. These are direct deductions from your final sale price.
Integrating Statutory and Disclosure Costs
While sellers are not required to perform investigations for the Residential Real Property Disclosure Act, you may incur costs if you elect for a professional inspection or radon testing. If a material defect is discovered post-contract, budget for potential legal or mediation costs if a dispute over disclosure arises.
Factoring Tax Exclusions and Deductions
Include your potential federal capital gains exclusion (up to $250,000 for singles or $500,000 for joint filers) if you meet the 24-month ownership and residence tests. If you do not qualify for the full exclusion, consult a tax advisor to calculate the expected ordinary income or capital gains tax liability on your proceeds.
Decision Worksheet: The Net-Proceeds Calculation
Worksheet Template: 1. Gross Sale Price. 2. Minus: Listing Fee (Plan Percentage). 3. Minus: Buyer-Bringing Fee. 4. Minus: Estimated Buyer-Agent Commission. 5. Minus: Closing Fees/Other Deductions. 6. Minus: Estimated Capital Gains Tax. 7. Equals: Estimated Net Proceeds.
Checklist
- Verify your eligibility for the IRS home sale gain exclusion.
- Gather all records of home improvements for tax basis calculations.
- Calculate total brokerage costs based on your selected plan.
- List all potential closing costs identified by your title company.
- Ask your tax professional about current year capital gains reporting.
Common questions
Does the disclosure report change the sale price?
The disclosure report itself does not set the price, but revealing material defects can influence buyer negotiation, which may indirectly affect your final net proceeds.
Can I include moving costs in my net-proceeds worksheet?
While these are expenses related to your move, they are not typically considered part of the real estate transaction's net-proceeds calculation for tax or commission purposes.
Sources
- Illinois Residential Real Property Disclosure ActChecked October 12, 2026
- IEMA-OHS — Real estate radon guidanceChecked October 12, 2026
- IRS Publication 523 — Selling Your HomeChecked October 12, 2026
- EPA — Real estate lead-hazard disclosuresChecked October 12, 2026
- SQFT IO — Listing plans and termsChecked October 12, 2026
This guide is general educational content from SQFT IO, prepared with AI assistance. It is not legal, tax or loan advice. Talk with a licensed attorney, tax professional or lender about your situation. SQFT IO Illinois license 478.027617.