The Cost of Selling a Home

Wanting to make a profit from the sale of your home is only natural. But home selling is not all gain and no sacrifice. There is a cost to putting your home on the market and completing a sale. Here are the costs you should think about before listing your home.

Real Estate Agent Commission

This is not an upfront cost, but it is something to consider if you do not plan on selling your home on your own. Most people choose to have a real estate agent assist them in selling their homes because making a mistake in the process can cost you a lot of money. There are a lot of legalities involved when arranging property sales and making legal missteps can open you up to lawsuits. Additionally, there is just a lot of time and effort that goes into selling a home. If you don’t have the time to spare to show your home and do all the paperwork that is required for a home sale, working with a real estate agent is your best option. On average, listing agents ask 2-3% of the home price as a commission. It is also important to factor in the commission of the agent representing the buyer as the seller usually pays this cost.

Inspection

Having your home inspected before listing the property is not required, but it is recommended. A presale inspection can alert you to problems so that you are not blindsided by them. Once you know what issues your home has, you have the opportunity to either fix them beforehand or simply price your home in a way that acknowledges the issues. If you choose to fix the problems, this can give you the ability to ask for a higher listing price. Either way, factor in the cost for the presale inspection and budget for potential repairs when considering selling your home.

Home Preparations

Aside from needed repairs, you may also need to budget for cosmetic things to prepare your home to sell. Buyers want to be able to imagine themselves living in a home. Painting walls a neutral color can help potential buyers visualize themselves in that space. A clean home is also important, so you may want to budget in the cost of pressure washings, carpet cleanings, and similar services.

Buyer Requests

Even if you chose to make needed repairs before listing your home, a buyer may still request a repair or two. You cannot fully anticipate how much these costs will be, but you can gauge off their offer if it is worth it to you to address their requests. Either way, it is important to anticipate buyer requests as a part of the cost of selling your home.

Closing Costs

Usually, closing costs are something that the buyer handles, but depending on the state of the market, they may ask you to contribute. Discuss the subject of closing costs with your real estate agent beforehand so you know whether to anticipate this cost or not.

All in all, you are most likely going to make a decent profit from selling your home. But that does not mean that you should not consider the cost of selling your home too.

The Watson Group works hard to ensure that listing your home with us is a pleasant experience. That is why we offer our guarantees. When you choose to work with us, your home will be sold, guaranteed.

11-15-2022