Oregon vs Washington Closing Costs Explained

Thinking about buying or selling on one side of the Columbia but living or working on the other? You are not alone. Many clients split their lives between Vancouver and Portland, and closing costs can be the surprise line items that change your cash to close or your seller net. In this guide, you will learn who typically pays what in Washington and Oregon, how Washington’s excise tax can affect your proceeds, and the simple steps to get exact numbers before you commit. Let’s dive in.

Big picture: WA vs OR

When you compare Vancouver, Washington to Portland, Oregon, most closing cost line items look familiar. You will see title insurance, escrow or closing fees, recording, lender charges, and prorations in both places. The material difference is that Washington usually charges a Real Estate Excise Tax, commonly paid by the seller, while Oregon does not have the same statewide excise tax structure. That single difference can shift a seller’s net by several thousand dollars depending on price.

Local custom and your contract determine who pays many items. Title companies in Clark County and the Portland metro handle escrow and disbursements for both sides of the river, but allocation of fees can vary by company and by the purchase agreement you sign. Always confirm the fee split before you finalize terms.

Who pays what in Vancouver, WA

• Sellers normally pay Washington’s Real Estate Excise Tax (REET).
• Commission is a major seller expense and is negotiable.
• Buyers typically pay lender fees, appraisal, inspections, and their share of title, escrow, recording, and prepaid items. Allocation of title and escrow can be split or assigned by custom and contract.
• Escrow officers handle funds, disbursements, and prorations, and you will receive a settlement statement that details each charge.

Who pays what in Portland, OR

• Oregon does not apply a statewide real estate excise tax like Washington’s REET. Local charges can exist, so it is smart to confirm with the county recorder or city finance office.
• Commission remains the largest seller line item and is negotiable.
• Buyers typically pay lender fees, appraisal, inspections, and many closing items similar to Washington, again subject to local custom and your contract.

Buyer costs: what to expect

As a buyer in either state, your cash to close includes your down payment, closing costs, and prepaid items, minus any seller credits you negotiate. Typical buyer closing costs often fall around 2 to 5 percent of the purchase price, but the final number depends on your loan program, lender credits, rate points, and concessions.

Common buyer line items include:

• Lender charges such as origination, processing, and underwriting
• Discount points if you choose to pay for a lower rate
• Appraisal, credit report, and third-party reports
• Title insurance, including the lender’s policy when financing
• Escrow or closing fee
• Recording charges for deed and mortgage
• Prepaid homeowners insurance, prorated property taxes, and initial escrow reserves
• Inspections such as general home, sewer scope, or specialty checks

If you want a quick estimate as you shop, use a simple tool to test scenarios, then refine with your lender’s Loan Estimate. You can start with our mortgage calculator to run different down payment and rate options: mortgage calculator.

Seller costs: key differences

For sellers in both Vancouver and Portland, commission and any existing mortgage payoff usually drive the net. You will also see prorations for taxes and HOA dues, title and escrow fees, recording, and any negotiated credits or repairs.

Washington REET and your net

Washington charges a Real Estate Excise Tax on the sale of real property, and the seller usually pays it. REET is calculated on the sale price and can include state and local components. Because rates and structures can change and may be tiered by price, you should verify the current rate for your Clark County sale before you list. REET can materially reduce a seller’s net proceeds and may influence your pricing and negotiation strategy.

Oregon transfer taxation

Oregon does not have the same statewide real estate excise tax that Washington applies. That does not rule out local or city charges, so confirm with the county recorder or city finance department where you plan to sell. In many Portland-area transactions, sellers do not see a large statewide excise line item on the settlement, which can improve net when compared with a similar Washington sale.

How cash to close and net are calculated

Knowing the formulas helps you plan your move and negotiate with confidence.

Buyer cash to close formula

Buyer cash to close = Down payment + Buyer closing costs + Prepaids and reserves − Seller credits

This is where lender fees, title and escrow, and prepaid taxes and insurance show up. If you negotiate a seller credit, it reduces what you need at signing, subject to loan program limits.

Seller net proceeds formula

Seller net proceeds = Sale price − Commission − Mortgage payoffs − Seller closing costs and taxes − Prorations + Buyer credits

On the Washington side, REET is part of seller closing costs and can be a significant line item. On the Oregon side, the lack of a statewide excise tax often improves seller net, all else equal. Keep in mind that commission is negotiable and usually the largest single expense, so small changes there can outweigh smaller fee differences.

What you can negotiate

Many fees are negotiable in your purchase agreement. You can negotiate:

• Seller credits to offset buyer closing costs within program limits
• Allocation of title and escrow fees depending on local custom
• Timing of repairs versus a closing credit
• Commission, which is always negotiable

Your title company can provide a sample settlement statement for your county so you can see the exact fee split used locally.

Timing, escrow, and disclosures

Both states use escrow officers or title companies to coordinate funds and documents. As a buyer with financing, you will receive a federally required Closing Disclosure that itemizes your final fees and cash to close. Sellers receive a settlement statement from escrow that details payoffs, prorations, and net proceeds.

Property tax calendars and proration rules differ between counties, and escrow will handle the math based on due dates and whether taxes are collected in arrears or in advance. Ask your escrow officer to explain the proration method for Clark County versus your Oregon county so you know how the closing date affects your credits and charges.

Practical steps to get precise numbers

Use this checklist to get accurate, local figures for your scenario:

• Confirm Washington REET for your price point and property type with the Washington State Department of Revenue and Clark County before you list or go mutual.
• For Oregon, confirm with the Oregon Department of Revenue and the county recorder whether any local transfer levies or city charges apply.
• Request a Loan Estimate from your lender early, and review the Closing Disclosure several days before signing.
• Ask your title or escrow company for a sample fee worksheet or settlement statement based on Clark County or your Oregon county.
• Verify who pays for the owner’s title policy in your specific market and contract.
• Clarify property tax proration dates with your escrow officer.
• If you are moving funds across borders or internationally, confirm wire instructions with the title company in advance and allow time for fraud checks.

Cross-border scenarios to consider

• You plan to sell in Vancouver but buy in Portland. Expect REET to impact your Washington sale net. On your Portland purchase, your buyer costs will look similar to Washington, but you can negotiate credits to reduce cash to close.
• You plan to sell in Portland and buy in Clark County. Your Portland sale may not include a statewide excise tax, which could improve your net. On the Washington purchase, your buyer side fees will be familiar, and your cash to close will be driven by down payment and lender costs.
• You are an investor comparing returns. REET on the Washington sale side may influence your hold period and exit strategy. Make sure your pro forma includes realistic commissions, REET where applicable, and conservative estimates for title, escrow, and recording.

Plan like a pro

The best way to remove surprises is to price the deal with real numbers early. Start by modeling your loan and down payment with our mortgage calculator. Then review our buyer’s guide to understand the full path from offer to closing. Finally, ask your escrow officer for a county-specific fee sheet and your lender for a current Loan Estimate, and confirm Washington REET or any Oregon local transfer charges before you sign.

When you are ready, our team helps you align timing, negotiation, and pricing to your goals. If you are relocating for work, investing across the river, or listing a high-end property that requires discretion, we will coordinate the details and protect your time.

Ready to compare exact cash to close and seller net across both states? Connect with ODonnell Group Realty for a discreet, data-backed consultation.

FAQs

What is Washington REET in Vancouver, WA?

• Washington’s Real Estate Excise Tax is charged on the sale of real property and is usually paid by the seller. Rates and structures can change, so verify the current amount for Clark County before you list.

Does Oregon charge a statewide transfer tax in Portland?

• Oregon does not have a statewide real estate excise tax structured like Washington’s REET. Local or city charges can exist, so confirm with the county recorder or city finance office for your transaction.

How much are typical buyer closing costs in either state?

• Buyer closing costs often fall around 2 to 5 percent of the purchase price, plus prepaids and reserves, depending on loan program, lender credits, and negotiated concessions.

What are the largest seller costs I should plan for?

• Commission is usually the largest line item and is negotiable. In Washington, REET can be a significant additional seller expense. You will also see mortgage payoffs, prorations, title and escrow, and any agreed credits or repairs.

How do property tax prorations work between counties?

• Counties use different calendars and may bill in arrears or advance. Escrow will prorate based on the closing date and local rules. Ask your escrow officer to explain the method for Clark County versus your Oregon county.

How can I reduce my cash to close as a buyer?

• Negotiate seller credits within program limits, compare lenders for fee and rate options, consider lender credits or rate points, and review your title and escrow fee allocations with your agent and escrow officer.