Printable cheat sheet

Texas mixed closing math cheat sheet

Built for Texas sales agent exam prep. Sort each line by base, side, and formula before adding anything together.

Reviewed August 30, 2026 · TREC Form 20-19 · TDI rates effective March 1, 2026

Use the calculator
CommissionSale price x rate

Use the rate in the question. Rates are negotiable, not standard.

Owner's title insurancePromulgated premium

Set by the Texas Department of Insurance. Commonly a seller cost, but negotiable by contract.

Recording feesFlat dollar amount

Release of the seller's deed of trust and the buyer's deed. Not a percentage of price.

Loan-to-valueLoan / value; down = price - loan

LTV is the loan over value. Down payment is the cash gap between price and loan.

ProrationDaily rate x days

Name the day-count method (360 or 365) and who owns the closing day before using the worksheet.

Final totalAdd requested lines only

Seller debit, buyer charge, and total transaction math are different totals. No transfer tax in Texas.

The exam setup rule

  1. Name the topic for each line item before calculating it.
  2. Circle the base: sale price, loan amount, value, annual amount, or days.
  3. If seller days are not given, calculate the day count first.
  4. Calculate each line separately before combining totals.
  5. Label buyer charges and seller charges as separate buckets.
  6. Add only the bucket the final sentence asks for.

Five worked examples

Commission$425,450 sale, 6% commission

$425,450 x 0.06 = $25,527 total commission.

Title and recording$2,750 owner's title premium, $130 recording

Fixed dollar costs: $2,750 + $130 = $2,880. These do not scale with the sale price.

Loan-to-value$340,000 loan on a $425,450 sale

LTV: $340,000 / $425,450 = 79.92%. Down payment: $425,450 - $340,000 = $85,450.

Tax proration$4,380 annual taxes, 196 seller days, 365-day method

$4,380 / 365 = $12 daily tax. $12 x 196 = $2,352 seller debit and buyer credit when taxes are unpaid.

Requested totalSeller math only

Add seller-side commission, title, recording, and seller tax proration only if the question asks for seller math.

Traps to check

  1. Do not add a state transfer tax line. Texas has no state transfer tax.
  2. Do not combine buyer and seller charges unless the question asks for a total transaction number.
  3. Do not confuse loan-to-value (a ratio) with down payment (a dollar amount).
  4. Do not treat title or recording as a percentage of price. They are fixed dollar costs.
  5. Do not guess proration days. Derive seller days from the closing date and closing-day ownership first.
  6. Do not answer the first subtotal you calculate. Re-read the final ask.

Work it without the answer showing

Build separate buyer and seller ledgers. Label every amount as a debit or credit before calculating either final balance.

Problem 1 · reconcile both ledgers$425,450 price; $340,000 loan; $5,000 earnest money; $250,000 payoff; 6% seller brokerage; 1 point; $2,388 seller-paid owner policy; $130 buyer and $50 seller recording; $3,500 buyer and $850 seller other costs; $5,000 concession; $4,380 unpaid taxes; 196 seller days; 365-day basis. Find seller net and buyer cash to close.
Buyer debits
Buyer credits
Seller debits
Final answer
Problem 2 · prepaid tax proration$3,650 annual taxes were prepaid. The buyer owns 120 days using a 365-day basis. Find the proration and ledger direction.
Buyer debits
Buyer credits
Seller debits
Final answer
Problem 3 · loan and buyer cash$500,000 price, $400,000 loan, 1.5 points, $10,000 earnest money, and $4,000 other buyer costs. Ignore tax adjustments and concessions. Find LTV, down payment, points, and buyer cash to close.
Buyer debits
Buyer credits
Seller debits
Final answer

Answer key

  1. Commission is $25,527, points are $3,400, and unpaid-tax proration is $2,352. Seller credits are $425,450; seller debits are $286,167; seller net is $139,283. Buyer debits are $432,480; buyer credits are $352,352; buyer cash to close is $80,128.
  2. $3,650 / 365 = $10 per day. $10 x 120 = $1,200 buyer debit and seller credit because the seller prepaid taxes covering the buyer-owned period.
  3. LTV is $400,000 / $500,000 = 80%. Down payment is $100,000. Points are $400,000 x 0.015 = $6,000. Buyer debits are $510,000 and credits are $410,000, so buyer cash to close is $100,000.

Sanity check

  1. Every number should have a side: buyer, seller, loan, sale price, or day count.
  2. Commission should follow the sale price. Loan-to-value should follow the loan over value.
  3. Down payment plus loan amount should equal the sale price.
  4. A proration amount should equal daily rate times the exact days used by the stem.
  5. Seller-only totals should exclude buyer financing charges.
  6. If a number looks like a transfer tax, drop it. Texas has no transfer tax.
Practice the pattern Pass Texas drills mixed closing math without labels.

Use the calculator, Math Coach, Trap Library, and Texas-specific questions at passtexasrealestate.com.

Download free

Sources: Pearson VUE outline #094401, TREC Form 20-19, TDI title rates effective March 1, 2026, Texas Constitution Article VIII, and CFPB Closing Disclosure guidance. For exam prep only, not legal, tax, lending, or closing advice. Reviewed August 30, 2026.

Use the Print / Save PDF button at the top to print or save this page as a PDF.