14 Extra Costs When Using a Realtor to Sell Your Home
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14 Extra Costs You Should Prepare for when Selling Home Through a Realtor...

I'm Ready to Sell My House. Where Do I Start?

If you're ready to sell, you probably have a dozen questions that need answers, like what type of extra costs will you incur. Should I go through a realtor? How does using a realtor work? Should I hold off reaching out to an agency and fix up the house first? Or should I wait to get their advice? Then again, why use a realtor in the first place? 

Certainly, a reputable real estate agent can guide you through the home-selling process, but if you choose to go that route, you should be aware of the extra costs involved, some obvious and some less so are as follows.

Extra Costs When Selling Through a Realtor

1. House Cleaning, $150+

Sure, you can put in the time and elbow grease yourself, but if you want your house to sparkle for prospective buyers, you may want to hire a professional.

2. Carpet Cleaning $150+

Pet odors, spilled drinks and dirty boots all leave a lasting impression. If you've been in your house for any length of time, you'll want a deep-cleaning of your carpets as well.

3. Painting, $1,000-$1,500+

A ready-to-sell, clean house goes hand-in-hand with clean, neutral-painted walls. Prie will depend of square footage. 

4. Outdoor Work, $150-$500

First impressions are important. A freshly mowed and edged lawn, trimmed bushes and raked up leaves will be the first thing prospective buyers see. Additional landscaping may be needed if the home lacks natural curb appeal.

5. Repairs $100-$10,000+

One of the first things a buyer is likely to do is to have a home inspection done on your property. If your home needs substantial or even repairs, it could set you back a pretty penny. Even the small things add up. The buyer may ask for you to complete them as a contingency to buying or request a reduction. Some buyers may even just walk away. 

6. Staging, up to $2,000

For a fee, a staging company can position furniture inside your home to accentuate the floor plan or hide flaws. Well done staging helps foster a quicker sale.

7. Transfer Tax $-$$

This is a fee you pay to transfer taxes into the new owner's name, generally a percentage of the sales price. The amount paid depends on location. 

8. Utilities $-$$

Up until the actual sale, you'll need to continue to pay for electricity and heating expenses for your home even if you've already moved out.

9. Attorney's Fees, $1,000+

Home sales contracts are complicated. You'll need professional representation at the table to make sure all the i’s are dotted and t’s crossed. 

10. Owner's Title Insurance $-$$

You pay this for the buyer as protection against any ownership liens or claims against the home. 

11. Home Warranty $-$$

Not required, but often offered, typically covering major appliances and plumbing and electrical issues for a year following the sale. Meaning that if something breaks after you move, you still cover the cost. Ouch!

12. Escrow Expenses $

Split between buyer and seller and paid to a neutral, third party.

13. Realtor Commission $6,000-$30,000+

How does using a realtor work? They'll show your house and inform you about all these expenses ahead of time. But it doesn't come cheap. Be prepared to turn over on average about 6 percent of your home's sales price split between the seller and buyer agents. 

14. Moving Costs $500-$3,000+

Whether you hire professional movers or a DIY rental truck, there will be expenses involved. Circumstances may also make it necessary to rent out a self-storage unit.

So, why use a realtor? Sometimes it just makes sense. But if you need to sell your home quickly and don't want to deal with the hassles of prepping your home and paying these added expenses, you can bypass these costs completely by selling your home "as is" to a cash investor. Give us a call today for a no-obligation quote.


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