Pay day! For many people this is the first thing that comes to mind when they think about selling their home, especially in today’s market. Next, you might start to imagine those profits and everything you can buy with them. However, people soon remember that there are significant fees and commissions included in a traditional real estate sale that can cut into those profits. Naturally people think a For Sale By Owner listing is a logical next step, especially in a Sellers market like it is now – but you should be aware that only about one in 10 homeowners are successful in their FSBO attempts. Often a FSBO listing leaves money on the table and creates more of a headache for the homeowner.
A real estate agent provides you with professional, trained advice on your homes presentation and marking, brings a qualified buyer to you, and handles the paperwork, deadlines, and scheduling of other industry pros, such as home inspectors. Top agents utilize the latest technology and the most highly trafficked real estate websites to list the property online, in an effort to net you the most cash they can. However, the associated costs can often surprise sellers, read on as we explore four things you should know about listing costs when selling your house in Florida.
Getting ready for market
Most people tend to think of the agents commission as the biggest expense, which it likey will be, but you should be aware that prepping and repairs sometimes come with a higher price tag when selling your house in Florida. Most buyers use bank financing and in order for their financing to be approved your home needs to be up to a certain standard and require you to make repairs in order to receive the asking price you want. Most homeowners are familiar with another option that helps skip this – selling to an institutional cash buyer (like Zillow, Offerpad, Open Door), which allows them to skip the hassle and sounds great, but you should be aware that these buyers often tack on huge fees with can end up right back where you started.
Agent fees
Surprising to some, the home seller is the one who pays the commission for both the listing agent and buying agent! This holds true when selling your home in Florida and can be a big chunk of change. For a home valued at $400,000, with a standard commission being between 5% and 6% you could be facing a $20,000 to $24,000 fee. On top of that you might need to pay closing costs, inspection costs, doc stamp taxes, etc. On top of that you may need to pay fees for your marketing – todays listings require professional photos if you want to get top dollar – although this is something you can generally have the listing agent pay for. When you work with a professional investor to buy your property, like the pros at Maio Strand Property Group, you can keep the commissions, fees, and marketing expenses in your pocket, and you won’t even pay any closing costs.
Holding Costs
Unfortunately there is no guarantee when or if your home will sell, even with the assistance of a real estate professional. The expense of holding the property while it is for sale is another thing you should know about listing costs when selling your house in Florida. As you wait for your home to receive an offer, make it through inspections and finally get to the finish line, a significant amount of time can add up. All the while, your mortgage, insurance, taxes, and monthly utility bills continue to weigh on your shoulders. You’re likely not living in the house during this time period either and are potentially paying two mortgages during this time. Regrettably, homes are often listed at unreasonable prices, as people believe that in today’s market they can get more than their home is worth, and these fees can continue to build.
However, you will have a guaranteed closing scheduled by making a direct sale to a direct buyer like those at Maio Strand Property Group. For most properties, a direct sale can close in a matter of a few days or weeks, with the convenience of selecting whatever calendar date works best for your plans.
Maio Strand Property Group
The most important thing you should know about listing costs when selling your house in Florida is that Maio Strand Property Group will buy your home directly, for cash, and save you all of the costs of listing and all of the precious time. At Maio Strand Property Group, we understand that your home is likely the most significant investment of your lifetime, so we stop everything and pay attention to what you have to say. At Maio Strand Property Group, we want to help you overcome any hurdles you may be facing, be they financial or time constraints. Our goal at Maio Strand Property Group is the make the process easy; that is why we explain everything, step by step. Therefore, before deciding which method of home sales is best for your circumstances, why not let a direct buyer from Maio Strand Property Group provide you with a comparison of what you would earn by listing the home on the market vs. our offer, which you’ll agree is fair. Contact Maio Strand Property Group today at (631) 335-4055.