It’s no secret that selling your home can be quite the journey.
Don’t let the big picture of selling your house cause you to lose sight of five potentially hidden home costs that can sneak up on you during the selling process.
5 Hidden Home Costs to Keep in Mind When Selling Your Home
#1. Upgrades and Repairs
Regardless of your home’s good bones and priceless location, making upgrades and taking care of repairs are necessary steps to take before selling your house.
Don’t let the costs of landscaping, replacing carpet, or rewiring the guest bathroom come as a shock. To maximize the selling price of your home, getting everything in tip-top shape for prospective buyers is key.
You want your home to outshine the rest of the houses on the block–or, at the very least, be on par with their quality. But don’t spend your time knocking on neighbors’ doors for a look around. Instead, work with your professional real estate agent to identify the top upgrades and repairs to prioritize to ensure your home is positioned for a successful sale.
As a seller, you can also hire a home inspector to conduct an inspection of the property. The findings can allow you to identify what repairs you must make, giving you an opportunity to invest in fixing the home’s issues before even listing it on the market.
The inspection findings can also provide you with an opportunity to sell the home as-is, reducing the potential for negotiations. Bear in mind that selling as-is can impact the price of the home, and thus your profit.
#2. Closing Costs
You may remember the process of paying closing costs from when you purchased your home, but now that you’re a seller, these fees look a bit different.
Closing costs as a seller can include ensuring the title to the home is up to par and undisputed, along with providing the buyer with title insurance to demonstrate that the title is in good, accurate standing.
These costs can also include fees for transferring the deed of your home to the buyer, depending on the regulations of the area where the home you are selling is located.
If you’re concerned about missing a possible line item in your closing costs, you can hire a real estate attorney to ensure nothing is missed. Keep in mind that hiring an attorney can be another hidden home selling cost.
If you don’t want to go the legal route, worry not–working alongside a trusted, professional real estate agent as a seller will easily help mitigate any issues in identifying closing costs. Real estate agents work on both sides of the home buying and selling process, day in and day out. They are there to guide you, protect your best interest, and ensure your needs are front and center in the deal.
#3. Agent Commissions
When you’re a seller, you are usually responsible for paying the fees for both your listing agent, as well as the buyer’s real estate agent, when you close.
Few people know that the buyer’s and seller’s agents’ fees are bundled together. And, traditionally, the buyer pays these fees, which are typically about 6% of the sale price of the property.
#4. Your Mortgage Balance
As soon as your home is sold, you must pay the remaining balance on your mortgage. Keep in mind that your latest statement may not include accrued interest from the time of it being sent to the day that your house sells.
Also, it’s important to keep in mind that the remaining balance of your mortgage will be deducted from your home’s selling price.
#5. Your Own Move
The paperwork has cleared, the signatures have been processed, and you’re all ready to vacate your home for the buyer.
Now that you’re ready to move, it’s important that you don’t forget to budget for things like:
- Storage fees for furniture and other home items–whether long-term or temporary
- Purchasing moving supplies like boxes, tape, and protective wrapping
- Gas and hotel fees
- Hiring a moving company
If you go the route of hiring movers, keep in mind that things like the number of rooms and furniture you’re moving, the distance to your new home, and even the season in which you’re moving can impact the price of the fees that your moving company will charge.
Selling your home is a thorough and lengthy process, but it doesn’t have to be painful. By being aware of the typical costs of selling your home, and also the potential hidden costs, you have an opportunity to budget for repairs or to price accordingly.
To find the best agent to lead selling your home, use RealEstateAgents.com and begin comparing with top agents today.