Here are a few of the costs you may encounter when listing with an agent:
Commission fees are always paid in full by the seller. The percentage can vary but is typically around 6%. Here’s a huge tip, this fee is negotiable. Don’t be afraid to negotiate this fee because it’s coming out of your pocket.
Inspections – At least a few hundred dollars, but there’s a catch…
Most of the time the buyer pays for the inspection the first week of the contract period. However, as a negotiation tactic, once the buyer receives the inspection report they will ask for repairs or a specific amount of money to be credited to them to reduce their closing costs.
There will be some repairs that must be made so the house is functional and livable, but everything outside of major repairs must be negotiated between the buyer and the seller.
Repairs – Varies.
As mentioned above, repairs will always need to be negotiated between the buyer and the seller. As a seller, if there are any repairs needed you are aware of, it is best to acknowledge them and let potential buyers know these costs have already been calculated into your asking price.
Come to the table with a credit for repairs so the buyer feels secure about purchasing the home. If new repairs come to light after an inspection, these will need to be taken care of and terms agreed to before the sale becomes final.
Appraisals – A few to several hundred dollars.
Often times this will be paid by the buyer if they are getting a loan. If the buyer is going through a lender, the lender will require the house be appraised before the final underwriting is complete. This process can take 3-4 weeks and if the house doesn’t appraise for the contract price, the buyer will try to get the seller to reduce the sale price to the lower appraised value.
In some cases, sellers will pay for an appraisals on their own as a negotiation tactic to sell the house on their own without an agent. Be sure to keep detailed records in this scenario.
Cleaning – $0 to a few hundred dollars.
When selling your house for top dollar, it needs to be clean. Like really clean. You should have a professional cleaning company do a deep cleaning from top to bottom. Or do it yourself to save some money.
Remember, surprise showings, open houses on the weekends and agents randomly stopping by to see the home will require the house be clean 24/7. If your have a busy schedule, keeping your house looking like a model home may require some outside help. The pricing will vary depending on the size of your home and the level of cleaning to be done. You can expect $100 and up per cleaning.
Staging – $0 to a few thousand dollars.
The biggest mistake sellers make is they don’t de-clutter their house before they put it on the open market for the world to see. Buyers are drawn to the pictures taken of the house before they even go se it. If your house is not photo ready then you may need to bring in a professional stager to get the house ready for public viewing.
This doesn’t have to cost a ton, there are some great ways to DIY or find deals at a big box store. No matter what you do, make sure you keep your space tidy and pulled together.
Bills While The Home Is On The Market – Varies (Can be hundreds or even thousands!)
Most people do think about the carrying costs of owning a house while it’s on the market to sell. Let’s say it takes 4 months from beginning to end. That’s 4 months of taxes, insurance, mortgage payments, utilities, lawn service, HOA and keeping it cleaned from top to bottom.
The bottom line is, you need to consider all of your option when selling a house in Dallas Fort Worth. Do the research and get educated so you can make the best decisions for your desired outcome. If you have any questions about the process please don’t hesitate to reach out to my office, we’d be more than happy to assist you in any way we can.
Best of luck!!