Here are 7 most of the most common costs that come with selling a home:
1. Commission fees
Of all the expenses that come with the sale of a downtown Boston condo, agent commission fees are usually the largest, and for good reason. Boston Real estate agents are professionals, wielding their industry knowledge and local expertise to get the job done and save countless hours of work for the homeowner. The commission is split by the agents representing both buyer and seller, typically totaling between five and six percent of the sale price.
2. Boston condo repairs
There are varying degrees of home repairs that can increase the value of your home. Cosmetic fixes like painting and decluttering help to present the home in the best light for Boston condo buyers. Larger projects like replacing appliances and full-scale upgrades are a more significant investment but can increase your home’s value.
In the interim period between when you move out and the buyers move in, you’ll want to continue paying utilities. Without running water, electricity, and heat, your home could be difficult to show to buyers.
4. Remaining mortgage
Another cost of selling your home is the remaining loan balance on your mortgage. If you have been steadily paying your mortgage, your home sale will greatly aid in paying back the remaining amount, if not cover it completely.
5. Capital gains tax
The capital gains tax is assessed by taking the difference between what you paid for your house and what you sold it for. There are common exclusions for the tax, but there are situations where the exclusions may not apply. For example, if the home was not your primary residence, you could end up paying taxes on the whole gain. Talk to your downtown Boston agent for more information.
6. Property tax
If your Boston Seaport condo sale takes place after you’ve paid taxes for the year, you may get a rebate at closing. In this case, the buyer reimburses the seller for the applicable taxes paid. Otherwise, the seller should pay the prorated share of property tax until the sale closes, placing the money in escrow.
7. Moving costs
Finally, the home sale is final, and you’re ready to move. Whether you’re moving locally or across the country, moving costs can add up quickly. Moving as many of your items yourself can save money, but for larger, more difficult to transport items, you’ll likely need to incur the cost of hiring professional movers to ensure your items arrive at your new home safely.
Boston Real Estate and the Bottom Line
These are just some of the costs associated with selling your home. Each home sale is different, and the costs vary accordingly. Knowing what you can expect to spend throughout the selling process will help you budget accordingly