Spring is traditionally a busy time for our local real estate market. Many homeowners are getting ready to sell their home. But there are a few things to note before taking that plunge…like what costs are associated with selling a home.
In today’s competitive market, sellers want to be sure that they put their best foot forward as they list their property. That often means taking a few extra steps to make sure their home is not only priced right, but also that it shows to its best advantage. That’s where the help of a professional realtor can really make a difference.
According to Sowell agent Shelly Rainwater, “Much home prep is free, editing (nicer way of saying decluttering) is usually a major part of getting a house ready. And often, the Realtor can help with some basic staging by rearranging furniture and moving accessories. I've been known to bring in a few accessories of my own when needed. In the case of a professional stager, costs can be $3000-5000. This can be a very good investment particularly if a floor plan is non-traditional, as it helps buyers see how the room might best function.”
More expenses often tied to selling a home include making home repairs and taxes. According to the website bankrate.com, “If you’re thinking about selling your home, it’s likely there are things you could do to enhance the appeal of your place and potentially raise its value. If you’ve been putting off sprucing up the exterior of your property, painting the inside or repairing a staircase or a leaky faucet, now’s the time to make those changes. And don’t forget to consider taxes. When you sell a home for more than you paid for it, that counts as a capital gain and might need to be reported on your federal tax return. The good news is, many homeowners are eligible to exclude up to $250,000 of profit ($500,000 for married couples filing jointly) from their main home from tax, as long as they haven’t used the tax break on another home sale within the past two years. The tax break applies if it was your primary home for at least two out of the previous five years.”
Shelly added, “Another standard expense is paying commissions. Our company charges 6%, with 3% going to the listing company and 3% to the selling company. Typically 6% is what most companies charge, but companies can charge whatever they like, there are no regulations.”