So you bought a home a long time ago and now, for whatever reason, you’re thinking about selling it and wondering what’s involved. You’re wondering how much of a hassle it’s going to be (stress and time) and how much it’s going to cost you to sell it. That’s right, even though you are selling, there is a cost. The higher that cost is, the more it will eat into your profit.
Below are a few of the costs that could go into selling your house.
REAL ESTATE AGENT COMMISSIONS
Although commissions can sometimes be negotiated, they usually range from 6 to 10%. That’s right, I know one agent in Massachusetts that charges 10% to sell your house. Let’s say you find a normal one and only have to pay 6% commission. As of February 2017, the average house in Massachusetts is selling for $365,000. If you had that average house selling for that, you would right away hand over $21,900 to the realtor. That alone is why some people try selling their house without an agent. You have to weigh all the factors and I’m not going to get into whether or not that is a good idea with this post.
REPAIRS AND CONCESSIONS
You might have been putting off doing some work on the house and would need to get certain things done if you want to sell it. Some repairs might be minor, some might be major and costly. At the very least, you should do some minor “fix up” things such as painting, changing cabinet knobs, fixing leaky faucets, tightening things, de-cluttering and cleaning, minor landscaping. If there are major repairs to do, you could always try offering a discount for it instead of doing the repair. Sometimes it’s better to just fix it, sometimes it’s better to wait and see if the buyer notices; it all depends on what it is and how major it is. I think a good average to plan for can run anywhere from $1,000 to $20,000, depending on the extent of the repairs and value of the property.
MORTGAGE PAYOFF AMOUNT
This may vary depending on the type of loan, the bank, and the loan amount. Some mortgages have a prepayment penalty, some will have prorated interest until the closing day.
Any neighborhood fees such as HOA or transfer taxes.
Capital gains taxes if you make a profit by selling your home. Currently, long term capital gains depend on your tax bracket, but usually range from 15 to 20%. So IF you made a profit of $100,000 after all these expenses mentioned, you would be giving $20,000 of that back to the IRS for taxes. Besides gains tax, you may also have to pay property taxes, depending on when you sell.
A home warranty for potential buyers is an optional expense, but sometimes helps sell a house. If you get one, that could add another $500 to the selling cost.
You may need a termite inspection and fix, fire inspection and new alarms, and things like that.
You may have to pay some or all of the closing costs, depending on the negotiation.
There’s moving and/or cleanout costs, which will depend on how much stuff you have, how much you want to keep, and how far you have to move it.
There’s the costs of purchasing a new home or even renting if you have to pay first and last month’s rent, a security deposit, application fee, HOA fees, etc.
HIGH COST SUMMARY
To sum it all up, the average cost to sell a house is usually between 30% to 50% when you factor in everything. That means after all that trouble, all that time, all that hassle and headache, and phone calls, and cleaning, and repairing, and taxes, you’re only going to end up with half the amount. Is it really worth it?
THE SOLUTION TO SELLING A HOME
That's why real estate investors like Ty Team Holdings have become so popular. Ty Team Holdings can take a lot of the hassle, stress, and time out of selling your house. You may not get the full amount for your house that a realtor would list it for, but there’s no guarantee that you would get that amount anyway, it’s just a listed amount and a hope. You might actually get more using Ty Team Holdings than what you would get after all the typical costs.
SELLING YOUR HOUSE FAST
If you sell your house to a real estate company such as Ty Team Holdings, you would get a price that you would be happy with and a quicker, stress free closing. That’s right, you can close on your schedule, whenever you want and GET CASH within days.
WE BUY HOUSES AS IS.
WE BUY HOUSE with NO FEES.
WE BUY HOUSES WITH NO REPAIRS NEEDED.
Sell your house with NO STRESS. It’s a whole new way of selling your house.
Sell your house with no costs, commissions, fees, or taxes mentioned above.
We pay cash for your house that you need fast.
There is no need to repair or clean anything.
We’ll buy your house just like it is.
You can even leave whatever stuff you don’t want anymore.
Just move what you want, and leave the rest behind with your stress.
SELL YOUR HOUSE SOLUTION
To sum up your solution: You will get a price you are happy with for your house without fixing or cleaning anything (or you don’t have to sell it). You get cash – and fast. You pick when to close – and WE pay all the closing costs. You move only what you want and leave anything else, including all your trash. If you want, we could even help you move.
If this sounds like an interesting solution to you, CONTACT US now to find out more.
Call 978-206-1074 or Email mail (at) tyteamholdings.com.
All blog posts written by Ty unless specified otherwise.