If you’re able to sell your home for a good price, then you can be sure to enjoy a large amount of money in profit. However, there’s a price to be paid to get access to your profit. Selling your home comes at a price in the form of different fees like notary charges, attorney fees, title-related costs, and others.
As much as you’d like to enjoy the whole profit, you must realize that these fees are important if you want to sell your house successfully.
The essential costs of selling your home
- Closing Costs
The buyers are usually responsible for paying the closing costs, however, sellers also have their share. For sellers, the closing costs consist of fees like:
- HOA Fees
As a seller, you have to pay HOA fees if your property is part of a Homeowners Association
- Pre-listing Inspection
A complete check-up of your home before it’s listed on the market.
- Escrow Fee
There’s a third party that holds and regulates the payment of the funds the two parties are required to pay. An escrow fee is paid to the third party.
Other closing costs include Recording and Settlement Fees, Title Insurance, Brokerage Fee, and Courier Fee.
Even after you’ve moved out of your home, you need to keep the lights on. No buyer is attracted to a dark and cold house. So even in your absence, your utility bills keep running but since nobody is home, your bills will be lower.
- Mortgage Payoff
The profit you make from your home will first be used to clear off your mortgage debt. However, the amount on your statement might be less than what’s due.
- Capital Gains Taxes
If you sold your home for more than you bought it, you’ll be required to pay capital gain tax if it’s above a certain amount.
- Moving costs
Selling your place means you have to move out. And moving out means you have to hire a moving company to assist with moving your furniture and other items. Except you can handle this process by yourself, you need to pay money to move your items.
The non-essential costs
The non-essential costs are costs you don’t have to pay but are instrumental in making your house sale process as smooth as possible.
- Pre-sale Home Inspection
This is the fee you pay for a professional to inspect your home before you finally sell your home. The result of the inspection will help you know where you need to make repairs or renovations.
- Big Repairs
If you discover a need for repairs during the home inspection like a leaky roof or pipes, then you might need to spend some money on repairs. Or you could let the buyer handle it themselves by giving them a discount for the house.
- Home Improvements
Before listing your home for sale, you’ll want to renovate and make repairs where necessary. Some renovations may not be essential but they help to increase the aesthetic appeal of your home and add more value to your home.
- Home Staging
Staging involves rearranging your home to suit the taste of your buyer. You can either try this yourself or hire a professional to get it done for you (which comes at a cost too).
Selling your home for a huge profit doesn’t mean you get 100% share. You have to pay some amount of money in closing costs so you can sell your home successfully.
However, you can avoid paying these costs to a large extent if you sell your house to a cash house buyer. If you’re looking to sell my house fast Birmingham, then we at Chase Pays Cash for Houses are your best choice. We will buy your house without you having to pay realtor’s fees, renovations, or repair fees.
Contact us today to get started!