Anyone who has sold a home will likely let you know how many extra expenses came along in the process. Most of these expenses are unavoidable and it’s a good idea to prepare for them beforehand.
The fees when selling a home may not be apparent to you when you are getting started. It’s important to know what you might have to pay during this process.
You don’t want to be blindsided while you are selling your home with fees you didn’t know you would have to pay. In this article, we outline five things to know about these fees.
Keep reading to learn all about the fees you may encounter while selling your home.
1. Getting the House Ready
Several fees will appear when you are preparing your home. You may need to paint, replace the carpet, hire a window cleaner, or just do some basic home repair.
Whatever the case, you’ll need to pour some money into getting your home in tip-top shape.
How much money you are willing to put into this is up to you. You may choose to only repair issues within the house and leave the yard for the new tenants. Or maybe you’d like to do it all, and impress your buyers.
2. Staging and Impressing Potential Buyers
Selling property is often more than just doing home repairs. If you’re wondering how to sell your property more easily, staging is your answer.
To impress potential buyers you’ll want curb appeal, properly decorated rooms, and a perfectly neat home. You may find a professional stager that can cost thousands of dollars, or you can try to do it yourself.
Home inspections are not required when you are selling your home. But, they are a great way to find anything that needs repaired or replaced before your buyer has the house inspected themselves.
Spending money on a pre-home inspection will help you avoid any upset from a buyer who finds something wrong in the home. These inspections do cost around $400, but they can save you time and money in the long run.
4. Vacant Home Fees
Some fees when selling a home that sellers don’t think about are the fees that come from an empty property. If you plan on moving out before your previous home is bought, you may encounter some costs you didn’t expect.
When you’re selling your house you’ll still need electricity for the lights and heat. It isn’t a good look for your buyers to walk into a dark and freezing home. Expect to continue paying utilities for a while.
5. All the Taxes
You may add transfer tax, property tax, and capital gains tax to your pile of selling fees. Regardless if I sell my property for cash or not, I am unlikely to avoid some of these taxes.
Transfer tax and property tax are usually small fees or no fees that will be determined by where you live as well as a few other factors.
Capital gains tax is the big one. When you earn more on your sale than what you paid for the home in the first place, that is capital gain. But, many factors may mean you don’t have to pay this tax.
Always talk to someone about this to know exactly what you may need to pay in taxes for your home’s sale.
Understanding the Fees When Selling a Home
There are many fees when selling a home. You can cut corners here and there to save yourself money, but there’s always be some fees you’ll need to pay. You should know what these fees are before you begin the sale.
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