Unexpected costs of Selling your home

Unexpected Costs of Selling Your Home

Why Didn’t I See This Coming? Unexpected Costs of Selling a Home

If you’re selling a home, you are probably excited about the profit you are going to take away from the sale. But before you start planning, let’s talk about some often-overlooked costs of selling that can eat into your bottom line. Many sellers are surprised by these expenses, but you don’t have to be.

Pre-Sale Repairs
Getting your home market-ready can be costly. Many homes need at least a few updates, like fresh paint, minor repairs, or even landscaping to enhance curb appeal. These upgrades help make a good first impression but can cost sellers an average of $14,000 according to Realtor.com. Taking care of these improvements upfront can help your home sell faster and at a higher price.
Staging Costs
Staging can make a big difference in how quickly your home sells. On average, staging costs range from $800 to $1,200, but it can be well worth the investment. Approximately 75% of home sellers achieved a return on investment of 5% to 15% above the asking price, according to data from the Real Estate Staging Association (RESA). Many agents, like Vittoria Logli, a top realtor in Glenview, IL, offer staging services as part of their marketing package, helping clients attract more potential buyers.
Closing Costs
Closing costs are another major expense for sellers. These can include title fees, attorney fees, and transfer taxes, all of which vary by location. These costs can add up quickly, so it’s essential to understand what you’ll owe before closing day.
Inspection Repairs
Once a buyer orders an inspection, you may be responsible for making additional repairs or offering credits to cover any issues. According to Repair Pricer, these inspection-related expenses can cost anywhere from $500 to $10,000, depending on the home’s condition. Budgeting for this in advance can help you avoid surprises when it’s time to negotiate.
Agent Commissions and Fees
If you work with a real estate agent, you’ll pay a commission, which typically ranges from 5% to 6% of the sale price. The recent NAR settlement has altered commission structures, meaning the seller is no longer automatically responsible for covering both agents’ fees. With this change, buyers may now be responsible for their agent’s fee, depending on the agreement.