Homes are one of the biggest-ticket purchases that people can make. If you’re looking to sell your home, then, you’re probably expecting to get a big payday equal to your home’s value.
But did you know that there are a number of fees during the home-selling process that can significantly reduce the amount that you actually receive? In this article, we’ll give you a breakdown of some of the big fees that can significantly reduce your profit.
Even if you want to sell your house with a realtor, it’s useful to keep these figures in mind. And if you’re looking for an alternative, we’ll let you know how to avoid these fees.
Realtor fees represent the biggest reduction of your payout. These fees often comprise 5-10% of the value of the deal, because both the buyer’s agent and the seller’s agent will need to be paid.
You may choose to list your house normally while forgoing a realtor, but this will require you to perform the same functions a realtor does: this includes everything from negotiation and home staging to finding a lawyer and transferring the home’s title.
While many people try avoiding these fees, homes listed by the owner only account for 7% of home sales in a year.
Inspections and Repairs
If your home has any significant damage — mold, water, or even foundational damage — you’ll likely need to get it fixed before receiving significant offers on the market.
This is because most lenders won’t give out mortgages for damaged homes. The amount of money involved in real estate transactions already represents a major risk for these lenders, and if the damage prevents them from selling the home at a good price, this would mean an even bigger loss on their investment.
Along with the actual cost of making these repairs, you also have to take home inspections into account. The buyer is likely to ask for a home inspection, as this will allow them to factor the cost of any damage into the amount they’re willing to spend for the home.
It’s useful to hire a pre-sale inspection for two reasons. One, it allows you to ensure that a buyer’s home inspection is accurate. Two, it allows you to disclose damage ahead of time, thus preventing surprises or mistrust.
Want to Sell Your Home Fast in Jacksonville?
At Freedom Home Buyers, we believe in simplifying the home buying process as much as possible. That means the majority of the above fees are irrelevant, since all you have to do is pick up the phone or contact us online.
When reach out to us via our online contact form, we’ll give you a fast, cash-down quote. That means you don’t have to deal with realtor fees, repairs, and more. If you’re not ready to sell your house yet, we’re also happy to answer any questions you may have about the process!