If you are thinking about listing your house, make sure you are prepared for these hidden and often unexpected costs! Keep reading to learn what to watch out for and ways to save your hard-earned money!
When you hire an agent and list your house on the MLS, selling can become costly. There are costs that are wise to consider in order to truly evaluate if the expenses are worth it. In some cases, selling to a direct buyer is the better choice. Call U.S. Direct Home Buyers today to find out whether listing or selling directly is the best choice for your unique situation.
If you do choose to list your house, watch out for the costs listed below!
People are aware of closing costs but don’t always know exactly what to expect. Closing costs include origination charges, transfer costs, inspection fees, and more. The numbers vary from house to house. Most homeowners pay anywhere from 2-5% of their final sale price in closing costs. If your house is $200,000, you will have to pay anywhere between $4,000 and $10,000.
Agent commissions are usually around 6% of the house’s final sale price. In addition to that, many agents tack on administrative expenses. This includes the costs of copies, printed materials, sandwiches for an open house, listing services, etc. Some agents take care of everything, while others charge you for every detail. If you choose to list, review the agreement before signing. You may find yourself spending far more than expected.
Staging & Curb Appeal
Preparing a house for photos, showings, and open houses can become quite expensive. To achieve the greatest effect, all of your personal items should be out of sight. This doesn’t mean hiding everything in a closet where people are going to look. Many homeowners pay for a storage unit and keep only the necessities with them while their house is listed. When the time comes, this makes for an easier move.
Curb appeal has a big affect on buyers. It can take some work and money to make sure the yard looks amazing. Not to mention the continuous upkeep while your house is listed. Don’t miss out on any potential buyers due to a messy yard.
Many homeowners will paint their house before listing it. This simple upgrade can have huge impacts on the appearance of the house. Most people choose to hire a professional, as painting the whole house can be quite an undertaking. To be mindful of costs, others will choose only to do certain rooms. It sounds easy enough, but after considering the costs of repainting, you could be looking at thousands in expenses.
You can do a good job of cleaning the house yourself, but do you really want to scrub walls, baseboards, and the dreaded oven? Many people hire professional cleaners who specialize in ‘move-out” cleanings. They take care of everything so you can spend time elsewhere. If you are not replacing the carpets, it is a good idea to have them professionally cleaned.
Some lenders charge you if you are paying the mortgage off early. Check with your lender for pre-payment penalties and other costs that will be incurred when paying off the mortgage. You will likely have to pay recording fees, which will usually run around $75.
Title & Escrow Fees
When listing your house, you will also need to consider the cost of title insurance, as well as a fee to the person holding escrow. This is typically a fee paid to the attorney who distributes funds to each party at closing.
Are you ready to sell a house? We can help you sell without the cost! Send us a message or give us a call today! (855) 885-8884