The Pennsylvania Home-Selling Process: Your Step-by-Step Checklist

In Pennsylvania, the vast majority of purchase offers come in on the PAR Agreement of Sale (Form ASR), which is the dominant residential purchase contract statewide. Your agent will walk you through each offer's key terms: purchase price, earnest money deposit, financing contingency, inspection contingency, requested closing date, and any seller concessions requested. Compare all terms — not just the price — to determine the strongest overall offer.

Cost: $0

After the NAR settlement effective August 17, 2024, you are no longer required to offer compensation to the buyer's agent through the MLS. You may still offer to pay the buyer's agent as a negotiated term in the purchase agreement — this is now a contract-based decision rather than an MLS policy. Some buyers may ask you to cover their agent's fee as part of their offer. Weigh each offer's total economics, including any requested seller-paid compensation, before accepting.

Cost: $0 (decision point; actual cost depends on negotiation)

You can accept an offer as written, counter with different terms, or reject it entirely. Counters are typically handled through an addendum or by marking up the offer. Once you and the buyer have both signed the same document with the same terms, you have a fully executed agreement and are legally under contract. Keep in mind that any changes to price, terms, or contingencies must be initialed by both parties to be enforceable.

Cost: $0

Once you accept an offer, the buyer will deliver an earnest money deposit (EMD) to the escrow holder — typically a title company or real estate broker. Under Pennsylvania PREC rules, the broker holding escrow must deposit the funds into a separate trust account no later than the next business day after receipt. Confirm with your agent that the EMD has been received and properly deposited, as this is a sign the buyer is serious and following through.

Cost: $0 (the deposit is held in escrow, not a cost to you)

The Seller's Property Disclosure Statement (SPDS) and any required lead paint disclosure must be delivered to the buyer before the agreement of sale is signed, or as soon as possible after execution if not done beforehand. Confirm with your agent that the buyer has received and acknowledged all required disclosures. If you discover new information about the property after signing — such as a problem that surfaces during your own pre-listing inspection — you may need to update your disclosures.

Cost: $0

If your property is in a county where bituminous coal mining has been or is being conducted — including Allegheny, Washington, Greene, Fayette, Westmoreland, and other western PA counties — the Bituminous Mine Subsidence and Land Conservation Act (BMSA), 52 P.S. §§1406.1-1406.21, may require you to provide a specific written notice to the buyer. The notice informs the buyer that subsidence from underground mining may occur and that the surface owner may have limited recourse if coal rights were severed from the surface estate. Check with your agent or attorney whether your property is in an affected area.

Cost: $0

The PAR Agreement of Sale includes specific deadlines for the inspection period, financing contingency, and other contingencies. Mark each deadline on your calendar. If the buyer misses a deadline and does not request an extension, some contingencies may automatically expire in your favor. Conversely, if you are obligated to respond to an inspection request or repair negotiation by a certain date, missing that deadline could put your deal at risk.

Cost: $0

After you go under contract, the buyer's title company or settlement agent will search public records to verify that you have clear legal ownership and that there are no liens, unpaid taxes, judgments, or other claims against the property. You don't need to do much here, but be prepared to address any title issues that arise — such as old liens, estate issues, or boundary encroachments — which can take time to resolve.

Cost: $0 (title search cost is typically the buyer's expense)

The buyer has the right to conduct a home inspection within the timeframe set in the Agreement of Sale. Make sure the inspector and buyer's agent can access all areas of the home — attic, basement, crawl space, electrical panel, HVAC equipment. Leave utilities on, clear access to the water heater and furnace, and make sure pets are secured. Being cooperative here helps the process move smoothly.

Cost: $0

After the home inspection, the buyer will typically submit a written request asking you to make certain repairs, provide credits toward closing costs, or reduce the purchase price. You are not legally required to agree to any repairs, but refusing everything may cause the buyer to walk away if their inspection contingency is still active. Review the request with your agent and decide which items you are willing to address and which you will decline.

Cost: $0

Whatever you agree to — repairs, a closing cost credit, or a price reduction — must be put in writing as an addendum to the Agreement of Sale and signed by both parties. Verbal agreements are not enforceable. If you agree to make repairs, keep all receipts and documentation; the buyer may request proof of completion before closing. If you offer a credit instead, confirm with the lender that the credit is permissible under the buyer's loan guidelines.

Cost: varies (repair costs depend on what is agreed)

Buyers in Pennsylvania commonly request radon testing given the state's elevated radon risk. If the buyer's radon test comes back at or above the EPA action level of 4 picocuries per liter (pCi/L), they will likely ask you to install a radon mitigation system or provide a credit. Buyers may also request septic, well water, mold, or oil tank inspections depending on the property. Each specialty test is negotiated separately and must be documented in writing if you agree to address it.

Cost: $800-2,000 typical for radon mitigation system installation (if required)

The buyer's lender will order an appraisal to confirm the home's market value supports the loan amount. An appraiser will schedule a visit to walk through the property, measure square footage, and note condition. Make sure the home is clean, accessible, and that any agreed-upon repairs from the inspection phase are complete before the appraiser arrives — condition affects the appraised value.

Cost: $0 (appraisal fee is typically paid by the buyer)

If the appraised value is lower than the agreed purchase price, the buyer's lender will typically only loan based on the lower appraised value. This creates a gap the buyer must cover out of pocket, or you must negotiate to address. Options include reducing your price to match the appraised value, meeting the buyer halfway, or holding firm and letting the buyer decide whether to proceed or exit using their financing contingency. Work with your agent to decide your strategy.

Cost: $0

Your agent should stay in contact with the buyer's agent to confirm the loan is moving through underwriting on schedule. Most financing contingencies in PA purchase agreements require the buyer to notify you if they cannot obtain financing within a set timeframe. If that deadline passes without notice, the contingency may expire. Delays in financing can push back your closing date, so it helps to know where the buyer stands.

Cost: $0

Contact your current mortgage servicer to request a payoff statement showing the exact amount needed to satisfy your loan as of the expected closing date. The payoff amount will include your remaining principal balance, any accrued interest through the payoff date, and any prepayment penalty if your loan has one. Share this with the settlement agent so they can include it accurately on the closing statement.

Cost: $0 (some lenders charge a small fee for written payoff statements)

The settlement agent — either a title company or attorney depending on where in Pennsylvania you are located — will prepare a settlement statement showing all debits and credits for both parties. As the seller, review your side carefully: confirm the sales price, your mortgage payoff, real estate commissions, prorated property taxes, transfer tax, and any seller concessions you agreed to. Errors are common and much easier to correct before closing than after.

Cost: $0

Pennsylvania imposes a Realty Transfer Tax under 72 P.S. §§8101-8102. The standard combined rate is 2% of the sale price — 1% to the Commonwealth and 1% to the local taxing jurisdiction. By custom in most PA markets, the transfer tax is split equally between buyer and seller (1% each), though this is negotiable. If your property is in Philadelphia, the combined local rate is significantly higher at approximately 3.278% (city plus school district), making the total Philadelphia rate about 4.278% — verify the current rate with the City of Philadelphia. The transfer tax is shown on your settlement statement.

Cost: 1% of sale price typical seller share (higher in Philadelphia)

If you are not a Pennsylvania resident, the state requires income tax withholding on the net gain from your sale. The withholding rate is 3.07% — Pennsylvania's flat personal income tax rate — applied to your net gain, not the gross sale price. The title company or settlement agent collects and remits this amount to the PA Department of Revenue at closing. If you are a nonresident, alert the settlement agent early so this can be calculated and included in your closing figures. You may also be subject to federal FIRPTA withholding of 15% if you are a foreign person as defined by the IRS.

Cost: 3.07% of net gain (PA nonresident); 15% of sale price (federal FIRPTA, if applicable)

Any repairs you agreed to in the inspection resolution addendum must be completed before the buyer's final walkthrough, which typically happens a day or two before closing. Use licensed contractors where required, and keep all receipts and permits. The buyer may ask to see documentation that work was completed. If repairs are not done, the buyer has grounds to delay closing or seek additional concessions.

Cost: varies

Pennsylvania closings are conducted by a title company in most of southeastern PA and by attorneys in the Pittsburgh area and surrounding western PA counties — practice varies significantly by region. You will sign the deed transferring ownership to the buyer, settlement statement, and any other closing documents. Bring a government-issued photo ID. Your agent or attorney (if you hired one) should be present to answer questions.

Cost: $0

At closing, you will sign the deed — typically a general warranty deed or special warranty deed — which transfers legal ownership of the property to the buyer. Once all documents are signed and funds are confirmed, hand over all keys, garage door openers, security codes, and any manuals or warranties for appliances and systems. The deed is recorded with the county shortly after closing.

Cost: $0

After all closing documents are signed and the buyer's lender funds the loan, the settlement agent will disburse your net proceeds. This is the sale price minus your mortgage payoff, real estate commission, transfer tax, closing costs, and any other amounts shown on the settlement statement. Funds are typically disbursed by wire transfer on the same day as closing or the next business day. Confirm wire instructions with the title company in advance to avoid fraud.

Cost: $0

Hold onto your complete closing package — the settlement statement, deed, disclosures, and any addenda — for at least several years. You will need the settlement statement when you file your taxes, as it documents the sale price, your basis adjustments, and deductible closing costs. If you sold your primary residence and meet the IRS ownership and use tests, up to $250,000 (single) or $500,000 (married filing jointly) of gain may be excludable from federal income tax.

Cost: $0