What does the seller typically pay in closing costs?

The seller typically pays closing costs that are directly associated with the sale of the property. Among the provided options, the most relevant item that a seller may encounter as a closing cost is the welcome tax. This tax, also known as the transfer tax, is generally the responsibility of the buyer, not the seller.

The hypothecary penalty fee, while it can arise if a seller pays off their mortgage early, is not a typical or mandatory closing cost specifically associated with the sale process itself. Inspection fees are usually the buyer's responsibility as part of their due diligence before finalizing the purchase. Adjustment fees on tax bills relate to the prorated sharing of property taxes, which can occur at closing but ultimately are items that are balanced between buyer and seller, depending on how the property taxes are structured.

Therefore, the welcome tax is the fee that aligns most closely to a seller's potential closing cost if they are selling a property, while the hypothecary penalty fee refers to penalties related to mortgage obligations rather than a direct closing cost associated with selling the property. Understanding these distinctions is crucial for grasping the financial responsibilities during a property transaction.