The Hidden Costs of Selling Your Home
When you are getting ready to sell your home you are usually thinking about the amount of money you will make, not the amount of money you will need to spend. However, there are many hidden costs involved when selling your home.
With a little advanced planning you can find ways to lower the costs involved with selling your home.
Preparing Your House to Sell
Many homeowners are surprised at how quickly the expenses add up when getting their house ready to list. Some homeowners get into major remodels to try to update their homes before listing.
While many buyers are thrilled to find a newly renovated house, it isn’t always necessary and often times you can do simple tasks to prepare your house while watching your budget. A new coat of paint and a doing a thorough deep cleaning can go a long way in making a good first impression on buyers.
Cleaning through clutter is a great way to make your house appear more spacious and appealing to buyers. It also helps save you time when you get ready to move by eliminating the amount of stuff that you have to box up and move.
When it comes to the exterior, a little elbow grease goes a long way. Keep your lawn cut and trimmed, prune trees and trim bushes. Purchasing a few in season flowers is a cost effective way to add a pop of color to your landscaping.
The Costs of the Listing Phase
While your home is listed there are many hidden expenses that you will face while buyers are looking at your home. If you work during the day and have pets in your home you might need to leave them in a kennel or hire a pet sitter to take them out of the house during showings or open houses.
If you want to keep your spending in check in this area look for friends or neighbors that are willing to watch your pets for you during showings.
When you have showings in your house it is tempting to head to restaurants more often. It’s an easy way to keep the kitchen clean and eliminate any chances that the house will smell like last night’s dinner during a showing. It is also an easy place to go to spend a hour while buyers are looking through your house.
This can add up quickly, so make sure you have alternative plans available. Try stopping at the local library or visiting a friend or family member.
Closing Costs
The costs that are involved with closing the deal are usually not negotiable. The largest expense that you will face is the commission for real estate agents. The average commission is 6%, which is split between the buyer’s agent and the seller’s agent. You can ask about the possibility of negotiating the commission; however this is not a common occurrence.
Don’t be caught off guard by the costs involved with selling your home. Not controlling your spending during the selling and closing process can really cut into your proceeds if you are not careful. Look for ways in advance that you can save money during the process.