What Does Selling a Home Cost?

What does selling a home cost? There is always confusion when it comes to actual cost of selling a property.  To clarify, Some fees and expenses are unavoidable while other can be optional.  How much a seller can actually save on the transaction as a whole, can depend on the way they decide to sell the property.

Unavoidable Costs

Closing Costs

Firstly, closing costs vary but are always present during a real estate transaction.  They are fees/expenses associated with transferring the ownership of a property from the seller to the buyer.  Appraisals, deed recording fees, home inspection fees, and title insurance are common fees that will be charged to a seller.  The fees normally range between 2-5% of the sales price.  This does not include any kind of real estate commissions.  Real estate commission is not a closing cost.

Mortgage Payoff

Secondly, most sellers have a mortgage balance of some kind when they sell a property.  There will be a payoff amount due before the transaction can close.  Another balance to consider when selling a home is a home equity line of credit or HELOC.  Homeowners normally take these out inorder to pay for upgrades or necessary maintenance on a property.  These balances will also need to be paid off before the transaction can close. In other words, any balance or debt owed against the property will need to be paid in full for the transaction to close.

Utilities

Thirdly, the seller is responsible for any outstanding utilitiy bills up entil the date of closing.   It makes no difference if the sellers vacate the property earlier. Paying for electricity, water, maintenance, sewer, and trash collection fees until closing is the sellers responsibility. The buyers will rarely assist the seller with any outstanding balances.

Moving Costs

Lastly, moving costs include professional movers, truck rentals, moving materials, and temporary storage.  It in imperative that sellers budget these expenses into the transaction.  Not everyone has a large truck or willing and able friends to help with their transition.

Optional Costs

Professional Cleaning Service

A super clean property can make a great impression on the potential buyers that come to look at the home.  It will help them feel at home and make them more likely to make an aggressive offer.

Home Repairs

The pandemic has caused many home renovations to skyrocket.  The cost of labor and materials are at an all time high.  Items like stainless steel appliances, bathroom remodels, new flooring, and kitchen remodels can make a huge difference in the sales price for sellers.

Tranditional Real Estate Commission

In Florida, it is common to pay around 6% of commissions to the buyers agent and the sellers agent.  Depending on the price of the sale, this can make a huge impact to the sellers bottom line.

In short, would you want to avoid most of the costs while selling your home? Enjoy professional services from our qualified team of licensed realtors and a fair and competitive cash offer for your house. Call or text 888-850-2636 today to speak with a knowledgeable advisor of the Homeinc Team.