Do you know the typical expenses when selling your house?
#1 expense paying the real estate agent
Assuming that you’re going to get a real estate agent you need to pay a percentage previously agreed with that agent based on the sales price of the house, if the buyer comes represented by an agent; your agent, the one selling the house has to share the commission with that buyer’s agent; we don’t keep everything to ourselves, also that commission has to be split with our broker, the marketing campaigns and with the buyer’s agent…
#2 expense paying the property taxes
Property taxes normally are paid in advance so you only pay for the months you lived in the property, on the closing date; the months that you paid in advance will be reimbursed to you, the title company will issue a credit on the final Statement showing a credit to the seller and a debit to the buyer. Now it will be “the buyers” the new owner’s responsibility to pay those taxes.
#3 expense contribution towards closing costs
This might be something that the buyers ask for; it is not always the case but normally they will ask for a three thousand to five thousand dollar contribution towards closing cost, it is on you, but it’s just something for you to keep in mind, they might also ask for a home warranty insurance, it is an insurance that is paid for a year, it is between $1,000 in $2,000 dollars, this type of insurance typically covers appliances, AC unit, termites, mold etc., it depends on what you are looking for or what the buyers are requesting, this is some “piece of mind” for them, to make sure it’s all working while they are adjusting.
…. you might thinking I’m going to do it on my own I’m just going to buy my sign, I will stick it on my yard and I’ll do the work; that’s not always the case, think about this, if you put for sale by owner sign people that is attracted to that sign is looking for a bargain it’s looking for a cheap house, it’s looking for a house that it’s probably not in the best condition; You value your property, you want all your equity in return and no because you want to save a very small percentage you need to sacrifice selling your house for what is worth, and keep in mind that you have to spend time your time showing your property, maybe working on hosting an open house, sending Flyers, doing the online marketing, among others, all those things will have to be on you and most likely you don’t have the resources and the time to do so..
REMEMBER not because your neighbor said that he sold his house for $700,000 dollars, the house is worth $700,000 dollars, he might have sold his house for $725, $745 sometimes we’re not always on point when we talk about numbers like that and probably his house was 700,000 dollars but your house has a beautiful patio, a beautiful kitchen a new bathroom and is not worth $700,000 dollars it might be $750, $780.
Please if you want a free home analysis don’t hesitate to contact me; it will be my pleasure to speak to you and let you know exactly what your house is worth, if it’s the right moment to sell or if it’s best for your to wait.