When it comes to selling a house, there are a lot of costs that come with it. In this article, we shall go over the five most common expenses you may face when organizing a real estate sales deal.
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Real Estate Commission
This will likely be the biggest fee you will end up paying. Commissions are usually 5-6% of the selling price. The money is split between the seller’s and buyer’s real estate agents. You can, however, negotiate for a lower commission price. Agents are likely to lower the commission fee if the house is going to sell quickly, the home price is high, or the local real estate market is strong.
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Pre-Sale Repairs
Before you consider selling, you have to make sure that your house is in good condition. The normal wear and tear details need to be repaired before you hand the real estate over to someone else. Sure, this may be a bit overwhelming, but it also raises the value of the house and is very well worth it. Why? Because of inspections. Therefore, if there are extensive damages on your roof, consider doing a reroofing project with the help of a shingle roofs expert. A siding repair is also a great project to improve your home’s exterior and its resale value.
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Inspections
Technically, this is optional, but it immensely helps with credibility if you get it done. It costs a pretty penny, though, so be sure. If the home inspector finds something wrong with your house, you will be liable to repair it – so you should get pre-sale repairs out of the way before you call an inspector.
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Utilities
Your first instinct will be to turn these off as soon as you move out, but don’t. If you are showing your house to someone new, and you cannot demonstrate running water, air conditioning, and electricity, the buyers will not get a sense of how it feels like to live in the house. Therefore, you want to keep paying for them even after you move out – at least until you find someone to take these costs off your hands.
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Closing Costs
While it is true that most of the closing costs are for buyers, sellers end up footing the bill on a lot of things, too. Mortgage balance payments, property transfer taxes, costs related to hiring attorneys, recording fees, escrow fees, brokerage fees, and courier fees are all things that the seller is liable to pay for. So don’t forget to plan the budget after taking all this into account.
These are merely the top five fees you might end up paying, but there are more. As a seller, you are expected to stay on top of all this when you make the decision to sell. It can be challenging, which is why Payday Depot makes it easy for you to get all the funds you need to cover the essential expenses. Do everything you can to stay prepared, and reach out to people who have already gone through the process for guidance if you need help.