Deal Or No Deal
When selling your home, it pays to look at the complete financial picture so you are ready to deal. Make a list of the costs of selling your house with these useful tips to guide you.
By: Tammy Stoner
- Realtor Commission
There's a 4 percent to 7 percent commission on the sale price of the house if you opt to go with an agent. Usually this rate is between 5 percent and 6 percent, but it can go as high as 10 percent on vacant land deals. It's a considerable amount of money. If you sell your house for $300,000, the standard 6 percent cut for the agent will be $18,000.
- Closing Costs
These can add up to 2 percent to 5 percent of the purchase price and include title transfer, any county transfer taxes, escrow charges and other miscellaneous fees. Read more about closing costs.
- Property Taxes
If you didn’t pay all of your property taxes before you sell a house, a prorated tax amount will be included in closing costs. Note: If you pay out of an impound tax (that's an amount tacked on to your monthly mortgage), this does not apply, since your taxes will be paid up-to-date.
- Home Warranty
Often the seller buys a yearlong home warranty for the buyer.
- Pest Inspection
Don’t worry, this doesn’t include a judgment of your nosy neighbor. Just termites. Read more about home inspections.
- Repairs on the House
Although the buyer pays for the home inspection, it's a good idea to get your own inspection before putting your house on the market. This way you're aware of any hidden problems before selling.
After you detail the costs of selling, you might be wondering how anyone makes any money. Well, one of the biggest perks of any house sale is the lack of capital gains tax (assuming you have lived in the residence for two of the last five years). The government allows for a write-off of up to $250,000 gained in the sale of your home for a single owner, and $500,000 for married couples. This applies for most state taxes as well; check with your accountant to be sure.
How to Deal With Your Lender When Facing Foreclosure
In the foreclosure world, "workout" has nothing to do with the elliptical trainer. It's about cutting a deal with your lender to stop the foreclosure process.
How to Protect Your Real Estate Investment
Is a flipped house an unsafe house? Not necessarily. But you want to take a careful look at renovations, especially the DIY kind, before you ante up with your down payment.
Ingredients of a Great Real Estate Investment
Boost your odds for a successful resale down the road with these four essentials.
What To Consider at a Showing
Don't be fooled by fancy furnishings -- look at the floor plan.
What It's Like to Live in an Urban Home
If you love being where the action is, look for convenient living in a city's downtown area.
What to Do If You Can't Afford Your Mortgage
If you're having trouble paying your mortgage, remember there are options before you concede your home.
To Sell or Not to Sell
It may seem like a good idea to sell your house, but often renting is a more lucrative option. Read these tips before deciding to sell and choosing an agent.
What It's Like to Live in a Waterfront Home
Homeowners share their insights on living by oceans, rivers and lakes.
How to Buy a Co-Op
5 steps to owning a cooperative housing residence
Sell Your House or Rent It?
Is it smarter to become a landlord than pay a big, fat capital gains tax? Here are the pros and cons of renting and selling your house.
Found a living space you love in HGTV's Photo Library? Get the look in your own home with products from Wayfair.
Photo Friday: Cooking and Dining in the Great Outdoors
HGTV Design Blog – Design Happens Aug 28, 2015 by Beth Rucker
This or That: Pick Your Favorite Vintage Find From Fixer Upper
HGTV Design Blog – Design Happens Aug 27, 2015 by Farima Alavi
6 Essentials for the Perfect Tailgate Party + Win the 1 Thing You Really Need
HGTV Design Blog – Design Happens Aug 25, 2015 by Farima Alavi
Discover the Winning Hue in Our Color Vs. Color Competition!
HGTV Design Blog – Design Happens Aug 24, 2015 by Kayla Kitts
Copy This Room: Get Beach Flip Style in Your Living Room
HGTV Design Blog – Design Happens Aug 24, 2015 by Shannon Petrie
4 Ways to Personalize Your Dorm Desk + College Goodie Giveaway!
HGTV Design Blog – Design Happens Aug 21, 2015 by Farima Alavi
The Easiest (and Cutest!) DIY Dorm Roommate Mugs Ever
HGTV Design Blog – Design Happens Aug 20, 2015 by Marianne Canada