Do you know much about the costs involved when you sell a house in the Miami area?
There are a number of costs that can up both before and after the sale. Before deciding to list with an agent, you should find out exactly how much putting your house on the MLS will cost YOU.
Selling Your House Can Get Expensive.
…especially since there are so many costs (some seemingly made-up) that, in some cases, negate any profit you make from a sale.
If these costs are particularly high, we can say with confidence that a direct sale will be a far better choice. Our latest post will dive into the costs of selling your Miami house using the three most popular methods. Compare all of your options before selling your house in Miami!
Listing your Property with an Agent
Commission fees do vary depending on the firm you work with. But typically you’ll have to pay about 6% of the final sale amount in agents fees! Plus, you could also be responsible for marketing and admin expenses as well. Make sure you find out exactly what your agent’s commission fee covers before signing a listing agreement.
Regardless of whether your chosen agency covers marketing costs, there will always be a few expenses that you’ll end up paying for. A professional photographer or videographer for example. Some sellers will even utilize drone service companies to get aerial shots of the property. You might also decide to upgrade your online ads to “premium” to get them at the top of the results page.
Most houses will require at least a few repairs before going on the MLS and possibly more once a buyer has been found and an inspection of the property carried out. Chances are there will be negotiations as to who makes the repairs found during the inspection. You can negotiate to either make some of these repairs or discount the sale price of the home.
Cleaning And Staging Costs
Most sellers prefer to rely on a professional firm to clean their property. Before doing so, they will remove personal belonging, clutter, and store unnecessary items elsewhere during the viewing period. Some homeowners will even hire a professional stager to make the house look as if it came out of the pages of a magazine. Check out these amazing Home Staging Statistics!
In a typical home sale, the seller will need to pay about 2% of the final sale price in closing costs. This can be negotiated up or down between the buyer and seller, but 2% is the standard rate.
Continued Ownership Costs
Listing your house with a Miami real estate agent can take anyway between a few months to the best part of a year. During this time, you still have to maintain the building and pay property taxes, utility bills, homeowners insurance, and mortgage payments.
Costs of An FSBO (For Sale By Owner) Listing
In an FSBO listing, the owner sells the property without the use of an agent or a broker. Sellers typically choose to sell their home on their own to avoid paying the real estate agent the commission for the transaction.Investopedia
While selling this way, may help you avoid expensive commission fees and agent costs, there are other expenses to consider.
Heightened Marketing Costs
When listing your house, depending on the agency a large percentage of the marketing costs will be covered. However, if you list on your own, ALL of the marketing and advertising is up to you. You’ll be responsible for online listings, printed materials, signage, and open house costs. You’ll definitely want to hire a professional photographer who will capture your home in the best way possible. And you may want to consider virtual tours or videos of your property.
House Preparation Costs
Getting any house market-ready can take a lot of work. Even if you don’t hire an agent, there are many things that need to be done before you can advertise the property for sale.
- Repairs (both before and after the inspection)
- Storage fees (for unnecessary clutter)
The Price Of Your Time
If you choose to sell on your own via an FSBO listing, you’ll find yourself spending an excessive amount of time handling the process. You are essentially taking on the role of a real estate agent – which is a full-time job. You’ll need to be available for showings, create listings and marketing materials, respond to questions, process paperwork, handle negotiations, and much more.
Costs of Selling to a Direct Buyer
When you opt to sell your Miami house to a buyer such as out Company Sunshine State Buyers, you’ll be pleased to find out that you get to avoid all the costs and expenses above. There are no fees, repair costs, or even closing costs. We buy directly from YOU, AS-ISS, potentially saving you thousands of dollars along the way.