If you are about to sell your home, you are expecting to make a ton of money, but it is important to remember some of that money will be going to realtor and selling fees. Many people are blindsided by these expenses, so make sure you do your research and are sure that selling your home is worth the expenses.
The first expense comes from prepping your home for showings. A home needs to be presentable, so getting your home ready to sale will require some work. You may need to paint, clean your windows, clean the carpet, fix broken hinges and clean up the yard to have good curb appeal. Making sure the home looks like "home" to potential buyers is important. You don't want buyers walking into a home without heat or lighting. So expect to continue to pay utilities for a while. Staging and decorating is also important. You want a home to remain neutral so that the buyer can picture him/herself in the house. You don't want the home cluttered with your personal belongings and family pictures. But, it is a good idea to keep some nice furniture and decor in the home so that it is easy to picture what living there would feel like. Having your home appear nice online is important too. More so now than before, buyers are going online first. So splurge on taking professional photographs of your home.
Closing will incur more expenses as well. A big expense that the seller is responsible for is realtor commissions. Generally 5-6% is paid in commissions split between the buyer's realtor and the seller's realtor. Other expenses could come up based on the closing deal you make with the buyer. Sometimes in the closing, the seller agrees to pay certain fees. Looking for a good realtor will help here. If you have someone that has your goals and best interest in mind, they will make sure you get the best deal possible. Some sellers also incur a home warranty fee if they agree to pay repairs to appliances or other systems in the house. As for taxes, if you get less than $250,000 on your home, you may escape paying taxes. But, if you earn more, you may be paying taxes on the home. Title Insurance is something else that the seller must provide to protect the buyer from any issues associated with the home's history. And finally, moving! Solicit friends to help to try and save money. Moving can become a huge expense, especially if you are moving out of the state.
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