Who pays for what in a transaction, seller addition?
When you think about closing costs, as a buyer, there are lots and lots of fees that add up. But let’s talk a little bit about if you’re selling your home, what are you going to have to pay for, because it’s not all just give me the money at the end of the day. So in the market that we’re in, now we’re seeing relatively little in the way of repair costs. So one of the big things or one of the big unknowns, perhaps when you’re selling your home is if the buyer has an inspection, and they are able to ask for repairs, and you agree to do those repairs, what those are going to be costing you. And that can depend largely on what needs to be done, if the buyer wants, you know, is demanding that they be done. And who does it, what the repair is all of that stuff. So that is one of the biggest things you want to budget for if you know that your HVAC is in rough shape and that that is going to be something you have to deal with, you want to make sure that you’ve stocked a little bit of money away, or some contractors will let you pay at closing from your proceeds after your home sells. But ask them first because many of them don’t.
After you get through that you’re really only going to have to pay for the termite wood-destroying insects, whatever you want to call it, a lot of people just call it the termite report, but it is a wood-destroying organism report. And what that means is you’re going to have to pay for and arrange or your agent will arrange for a pest control company to come in, do an inspection, make sure there’s no termite damage and here in central Virginia, it is very wet, it is very humid, we’ve got a lot of that sort of thing. So hopefully, you’ve had a contract all along as you’ve owned the house, and there’s no issue. But once they come in, they’re either going to give it a clean bill of health, or they’re gonna say you need treatment, which almost always costs between 750 and $1,000. And heaven forbid repairs. And that can range. You know, depending on the repair, go nuts. You can spend all sorts of money on that. But as long as you’ve got a clean bill of health, that Wood Destroying Insect, wood destroying organism, the report should only cost you about $100. That is going to be required for the sale unless it was waived in the contract because it is a provision of the contract that we have our boilerplate template contract here in central Virginia.
Your biggest fee though as a seller is going to be the Commission’s because they do come out of the proceeds at the end of the day. So whatever you pay your listing agents, and from that whatever goes to the buyer’s agent, that’s going to be your largest amount. At the settlement table, you’re going to pay that you’re going to pay that wood destroying organism fee, and then you’re going to cover the attorney fee or settlement agent fee for them to prepare the deed. There are some taxes because of course the city, the county, the state, they all want a little bit of paint and you know little bit of the action. But overall, with the exception of the Commission’s your closing costs as a seller are going to be relatively low. Not a whole lot that goes into there if your house is in good condition. If you have any other questions about what it’s going to cost to sell your home, what it’s going to look like at the end of the day, and how much you’re going to end up with, then give me a call. I’d love to talk to you, help you look at the numbers, break them down, and see if it is a good time for you to sell and what you’re going to end up with at the end of the day.