If you are looking to sell your home, congratulations, the market is fantastic! It is a great time to be a seller. Getting a substantial return on your investment is always a great feeling.
When selling, it is natural to be focused on the money you are receiving and not the money you will be spending, but it is always a good idea to be prepared and know what to budget for. Here is a brief breakdown of associated costs of selling a home: (Remember, costs will vary based on your listing price, the condition of your home, preferences, etc.)
What Costs do I pay When Selling a House?
Home Staging
Staging is the act of arranging decor and furnishings with the intent to showcase a home for sale. The costs associated with this can vary greatly depending on your preferences and needs. A professional home stager can charge upwards of $600 for an initial design consultation, and around $500 per room, per month for furniture/furnishing rentals. Staging can cost a little or a lot depending on the condition of your home and how well it shows compared to similar homes for sale in your area.
Decluttering
If you have clutter in your home that needs to be removed, you could be looking at a few hundred dollars to rent a bin to dispose of unwanted items and a storage unit to store larger items you plan to keep. If you have a substantial quantity of items for disposal, you might consider rubbish-removal services.
Fixing Important Issues
Before you list, it is crucial to take care of any pertinent repairs. Ask your REALTOR® for advice on what needs to be repaired/renovated, and what can stay as-is.
Cleaning
Consider whether you plan on hiring a cleaning service to deep clean your home before you list.
What are the Closing Costs for Sellers?
- Legal Fees: Typically range from $500 – $1,000
- Mortgage Discharge Fee: If you are switching lenders, you will need to pay a fee to discharge your mortgage from your current lender. Most banks will charge between $250 and $325 to prepare this. It costs an additional $70 to register a mortgage discharge on title.
- REALTOR® Fees: Real estate fees/commissions will vary, based on where you live and what you negotiate with your agent.
- Status Certificate (Condos): If you are selling a condominium, you are usually required to provide a Status Certificate to the buyers. This certificate provides important information about the individual condominium unit and typically costs around $100.
After Closing, What Costs to Expect
Moving Costs
Costs associated with moving can include paying for a truck rental, the hiring of movers, moving supplies and any storage fees.
Temporary Housing
If your home closes earlier than you expect, you might be faced with costs associated with temporary living arrangements before you find your next property.
There are costs of selling a home; be informed: know how much it will cost you to sell yours! Prepare yourself and set a budget that will leave you without surprises when the time comes.
Create a checklist and ask an experienced REALTOR® for advice. If you are ready to sell, but have some questions, give me a call at 416.960.9995. I would be happy to provide more information and share helpful resources!
