If you are thinking of selling your home you may be wondering "how much does it cost to sell my house myself". You may ask a few of your friends or family members and some may know how much it actually cost them and others may not, or the actual cost may vary greatly from one person to the next. In this short write up we will go over what some of your expenses might be.
Commissions
So we are talking about selling your home yourself, but, most homeowners that try to sell "By Owner" eventually end up listing with an agent. So for that reason we think it's important to add this info.
If you sell your house using an agent, well that's going to be one of the biggest expenses. A listing agent's fees can be anywhere between 5 to 7 percent. Dimitria Willams has some more insight on this:
Subject to negotiations, the commission fluctuates between 5% and 6% of the closing price, and carries the stakes of both the seller’s and the buyer’s agents. It is the seller, though, who pays it.
The higher the closing price, the higher the commission, which is often the largest cost in a real estate transaction. In some of the country’s most prohibitive housing markets, excluding the luxury segment, it can reach over $70,000 – as is the case in San Jose. The average for the country is a bit over $13,500.
If you are able to sell your property yourself without an agent you will undoubtedly save yourself a large chunk of change. Like we mentioned previously, not everyone is able to do the job themselves. Agents can be worth the money, especially when it comes to contracts and negotiations. A good agent can help protect you from legal problems ranging from misinformation and just getting all of the paper work done period.
Home Inspection
This is something that you may be able to skip, depending on the age of your home. If your house is only a few years old, you probably don't need it. However, if your house is 30 years old you may want to have an inspection done yourself prior to a buyer's inspection:
A presale home inspection is strictly optional, and it could cost around $400 or more. So why would you pay for one? Some sellers make the investment because they want to find out about any structural or mechanical problems with the house before a potential buyer comes in with his or her home inspector.
Getting a pre-sale inspection allows you to make major repairs ahead of time, removing any possibility of a buyer demanding them later or asking you to lower the price. Discuss with your real estate agent whether a pre-sale home inspection is recommended. Keep in mind that if your inspection reveals material defects with your home, you’ll have a responsibility to disclose them to a buyer, depending on your state’s laws for disclosure requirements.
Typically in Georgia we see these inspections cost around $600. If your home has some age on it, this may be something that you want to consider just to give you some piece of mind.
Closing Costs
These are costs that are customary for the seller to pay for the buyer. It can range from just a few hundred dollars to thousands, or in most cases 3% of your selling price. Karin Carr explains more:
In the Georgia market it’s very common that buyers ask you to pay their closing costs or at least a portion of it. We have a lot of first time buyers and nobody puts 20% down anymore. I mean, people don’t have $100,000 just sitting in the bank waiting to buy a house as a general rule. They may ask you, hey can you chip in $3,000 towards my closing costs? They will probably also ask you for either a home warranty, a termite bond or both.
This is also something that you can negotiate. Just remember that if you don't offer any incentive for the buyer they may purchase another house from someone that will.
Miscellaneous Costs
There are actually quite a few more things that can add up. You may need to spend money on landscaping, staging the home, home repairs or home improvements and the list can go on and on.
A Great Alternative
If you are really wanting to sell your house, you need to contact us. We will buy your house just the way it is - no repairs, updates or staging. We will even pay all of the normal closing costs! In short, whatever number we agree on is what you will get at closing, less any outstanding mortgage balance.
Sell your house fast, easy and for all cash. We buy houses in any condition and in any price range in Powder Springs and all of the surrounding areas. Just call us at (770) 756-8680 or click here to visit our website and complete a short form and we will contact you soon.
The previous blog post How Much Does It Cost To Sell Your House Yourself? is available on MandichPropertyGroup.com. Discover more on: https://MandichPropertyGroup.com
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