You’ve decided to sell your house on your own, and you realize there will be some costs involved. So, wisely, you’re now asking: “What should I budget for if I sell my house on my own in Fort Myers?”
The answer may surprise you.
It is true that home prices are rising in quite a few markets nationwide. It may also be the case that your home has appreciated considerably over the years. But before you count your profits, you’ll need to factor in these obvious and not-so-obvious costs of selling your house.
What Should I Budget for if I Sell My House on My Own in Fort Myers
Commission Fees
Let’s get this one out of the way right off the bat. Many sellers believe that in a hot market, they can successfully sell a house on their own and avoid paying the standard commission fees typically associated with real estate transactions. This perception stems from the idea that high demand will naturally bring in buyers without the need for a professional intermediary. Consequently, sellers hope to save a significant amount of money by circumventing the services of a listing agent.
However, the truth is more complex. Even if you manage to sell your house independently, you are still likely to incur costs associated with the buyer’s agent’s brokerage fees. These fees are usually a percentage of the sale price and are often stipulated as the seller’s responsibility in many real estate transactions. Therefore, while you might save on the listing agent’s commission, the overall cost savings might not be as substantial as initially anticipated. Moreover, selling a house involves various other challenges and legal intricacies, which a professional agent can help navigate, potentially making their commission worth the investment.
Repairs
Most buyers aren’t interested in a house that has problems – and most houses have some kind of issues. Most of the time, most sellers have to do some repairs before they put their house on the market. And if the maintenance has been allowed to lapse, these repair costs can be fairly substantial. A new roof, for example, can set you back by as much as $20,000.
Landscaping
Curb appeal is crucial when it comes to attracting potential buyers to a property. It serves as the first impression and can significantly influence a buyer’s decision to explore further. A visually appealing exterior entices prospective buyers to stop and take a closer look, increasing the likelihood of them stepping inside and considering the property seriously. In real estate, first impressions can make or break a sale, and thus, enhancing curb appeal is an essential strategy for sellers aiming to maximize their property’s attractiveness and marketability.
One of the most effective ways to enhance curb appeal is through professional landscaping. Landscaping not only beautifies the property but also creates a welcoming and well-maintained look that can greatly increase its perceived value. Investing in a comprehensive landscaping project, conducted by a professional service, typically costs a little over $3,000 on average. This investment can yield significant returns, as a well-landscaped yard can make a property stand out in the market, drawing in more potential buyers and potentially leading to a quicker sale at a higher price.
Staging and Photography
Many people – when asking, “What should I budget for if I sell my house on my own in Fort Myers?” – often neglect to factor in this expense. But if you don’t want your house to sit on the market for months on end, you probably shouldn’t neglect staging and professional photography.
Staging involves setting up and arranging your home so that it appears as appealing and inviting as possible. And then to display the staging in online listings, which is where a large percentage of buyers begin their search, you will likely need some professional photos, ranging in cost from $500 to $1,000.
Utilities
If you plan to move out of your current house into a new home, you can’t just shut the utilities off in the home you vacate and intend to sell. Buyers absolutely do not want to walk through a cold (or sweltering) and dark house. (Also keep in mind that if you turn off the electricity and air conditioning during the summer, you run a high risk of developing a mold problem.) So, at the least, you will need to keep the electricity on and probably the gas as well in the wintertime. If the house is one you’ve been living in, then you already know what it will cost you to keep the utilities on.
Capital Gains Taxes
And then there are capital gains taxes. If your house has appreciated quite a bit, you may have to pay this tax (which is based on the difference between purchase and sale prices, minus the cost of documented improvements). There are, however, some pretty generous exemptions, but just bear in mind that Uncle Sam may take a cut.
So if you’re wondering, “What should I budget for if I sell my house on my own in Fort Myers?” you now know the answer is . . . quite a lot, actually.