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Iowa Real Estate Sale: Costs & Commission Explained

A flat base plus a clean percentage — one of the few states where the executor's fee is simple arithmetic, not a judgment call.

Iowa Code §633.197, 633.198

By the FigureMyTax Editorial Team · Reviewed 2026 · How we calculate

Quick answer: the ordinary 5-6% realtor commission applies as usual, plus a statutory personal representative fee of $220 for the first $5,000, then 2% of the rest of the estate's gross value. See how this plays out for your own numbers in the Iowa probate real estate sale calculator.

A genuine formula, not a guideline

Genuinely distinctive: Iowa Code §633.197 sets the fee at $220 for the first $5,000 of the estate's gross value, then 2% of everything above that — calculated before considering any debts or obligations. An estate worth $100,000 yields $2,120; an estate worth $500,000 yields about $10,220.

Life insurance and 401(k)s don't count

Funds that pass directly to named beneficiaries — life insurance policies, 401(k)s, and similar accounts — are excluded from the gross value used to calculate this fee, since they never become probate assets in the first place.

The attorney has a parallel, separate ceiling

A comparable fee ceiling applies to the estate's attorney under §633.198 — a distinct statutory provision from the personal representative's own §633.197 fee, though the two often land in a similar overall range in practice.

Extraordinary services can still exceed the formula

The court can approve fees above the ordinary schedule for extraordinary services — a genuinely complex or contested estate can justify more than the flat formula alone would produce.

Facing probate in Iowa?

A local probate attorney can review your estate — many offer a free consultation.

Talk to an Iowa attorney

The §633.197 formula applies the same way whether the estate is administered in Polk County, Linn County, or any other Iowa county.

Sale costs and commission — frequently asked questions

What exactly is Iowa's statutory executor fee formula?

$220 for the first $5,000 of the estate's gross value, plus 2% of everything above $5,000, under Iowa Code §633.197 — calculated before considering any debts or obligations against the estate.

Does the estate's attorney follow the same schedule?

A parallel fee ceiling applies under §633.198, typically running around a similar overall percentage of the gross estate in practice, though it's a separate statutory provision from the personal representative's own fee.

Can the personal representative ever be paid more than the formula produces?

Yes — the court can approve extraordinary fees for unusual services beyond the ordinary schedule, when the estate's actual demands genuinely justify it.

Do assets that pass directly to a named beneficiary count toward the fee calculation?

No — funds that pass directly to named beneficiaries, such as life insurance policies or 401(k)s, are not included in the gross value used to calculate the statutory fee.

What does it cost to sell real estate during probate in Iowa?

The ordinary 5-6% realtor commission applies as usual, plus a statutory personal representative fee of $220 for the first $5,000, then 2% of the rest of the estate's gross value.

Keep going

Iowa Probate Real Estate Sale CalculatorYour estimate, based on your answers Court Approval to Sell in IowaThe homestead's own rule, explained Capital Gains Tax on the Sale in IowaIowa's flat 3.9% rate Iowa Executor Fee CalculatorThe full §633.197 schedule

This page provides general guidance only and is not legal, tax, or financial advice. Based on Iowa Code §633.197, 633.198. Confirm current figures with a licensed Iowa attorney or real estate professional before acting.