Once the big decision to sell your home has been made, the next step is deciding how to sell. When making this decision, it is important that you understand all of the costs involved. In this article, we will outline 5 costs homeowners face when selling with a Louisville real estate agent.
Real estate agent commissions are among the highest of the costs Louisville homeowners face when selling with an agent. These commissions are based on a percentage of the sale price of your house. Typically, you will find the commission to be at least 3% per side. That means if you sell your house for $400,000, you would have to pay $24,000 out of your proceeds in commissions alone. Plus, remember there are traditional seller’s closing fees and other possible transaction fees to the closing agent and the real estate agent’s offices.
Other Professional Fees
Homeowners also face professional appraisers and home inspector fees when selling with a Louisville real estate agent. When you use an agent, the first step in the approval of a mortgage is the property appraising for enough to meet the terms of the loan the buyers have qualified for. Additionally, the buyer’s agent will almost always order an inspection of the property. There may also be fees for the closing agent handling the transaction. That’s in addition to the closing costs you are already responsible for.
Depending on the age of your home and the state of maintenance the property is in, it may be wise to have your own inspection performed first. By being prepared ahead of time, a professional can help you understand just what you may be facing financially, in terms of a traditional real estate transaction.
If the inspector should find something wrong with the property structure, or other issues with the property that need repairs, they may require you to fix it out of pocket before the property closes. The potential costs can run into the thousands and become yet another expense homeowners face when selling with a Louisville real estate agent, sometimes even more than the commission you’ll pay to the real estate agent.
Advertising can be a rather expensive aspect of costs homeowners face when selling with a Louisville real estate agent. Listings typically include high-quality professional photography so that the listing stands out among the competitors on the top internet pages for home searches, including the Multiple Listing Service (MLS).
When working with top producers, you can expect staging to be another item you will be responsible for. Be certain you carefully review this section of the listing agreement with the agent and ask questions. Their version of updating the property and what you have agreed to perform in order to meet their standards, with an unlimited budget, may not meet with the realities of your checkbook.
Holding onto one property when circumstances force you to move into another means you will be responsible for the expenses of both for a time. Many sellers find their home is stagnant on the market while they sink under their monthly bills. This includes the cost to do the smaller maintenance tasks or take on the additional burdens on their time. It also includes bearing the expense of traveling between the two properties to perform tasks.
Sadly, real estate agents cannot guarantee that your property will sell. This can lead to your home painfully lingering in the marketplace.
Additionally, traditional house sale contracts usually include buyers meeting qualifications from banks, allowance for the mortgage underwriting time, and property inspection. Last but not least, your buyer may not end up qualifying in the end, leading you to start your listing over again.
That’s Where We Come In
Why spend a fortune when there is no guarantee your property will actually be sold by an agent? If you are thinking about selling a house without a realtor, work with We Buy Houses in Kentucky, and avoid all of the expenses homeowners face when selling with a Louisville real estate agent.
Owners Daniel and Catherine Close buy homes for cash in Louisville, Kentucky and surrounding areas. These include: Bardstown, Fern Creek, Highview, Jeffersontown, La Grange, Lyndon, Mount Washington, Newburg, Okolona, Shelbyville, Shepherdsville, Shively, St. Matthews, Taylorsville and Valley Station. We also buy homes in Southern Indiana, including these areas: Clarksville, Jeffersonville and New Albany.
By selling directly to our company, you will not need to worry about commissions, broker fees or paying other professionals! And you will get a fast house sale. We are happy to discuss these and other reasons why it is better to sell your house directly to us. Please send us a message or give us a call today at (502) 383-1484.