Are you thinking about selling your home? If so, there’s a crucial factor you need to consider – closing costs.
Many sellers make the common mistake of not budgeting appropriately for these fees, leading to unexpected surprises that can affect their bottom line. Today, we’ll shed light on the truth behind closing costs and offer three essential steps to help you prepare for a successful home sale in Lake Norman, North Carolina and surrounding areas.
Understanding Closing Costs When it comes to a real estate transaction, buyers typically bear the brunt of the fees. However, sellers in the Lake Norman NC area should expect to pay between 6% to 7% of the total sales price in closing costs. This means, for a typical home priced at $593,750, sellers should anticipate allocating roughly $37,406 towards these expenses. Closing costs cover a range of fees, such as commissions, mortgage payoff, title search, transfer taxes, excise tax, recording fees, and more. These fees are typically deducted from your proceeds if you have equity in your home.
In some cases, however, you might need to bring money to the closing table to cover these expenses. To avoid this situation, let’s explore three steps to better prepare yourself for the home selling process.
Step #1: Talk To Your Realtor®
Before listing your property, it’s crucial to sit down with a reputable real estate agent to discuss the true cost of selling your home. A knowledgeable Realtor® can provide you with valuable resources and insights, giving you a clear understanding of your responsibilities as a seller and your expected net profit from the sale. If you don’t have a Realtor® yet, don’t worry! Just reply to this email, and I’ll be more than happy to share the resources I use with all my clients, helping you make an informed decision as well!
Step #2: Understand Your Budget For Closing Costs
Collaborate closely with your Realtor® to comprehend and budget for the various closing costs associated with selling a home in [CITY NAME]. They will guide you through the fees, which might include sell-side and/or sell-side + buy-side commission fees, mortgage payoff, title search, transfer taxes, excise tax, recording fees, and more. Being well-prepared will enable you to navigate the process smoothly without any financial surprises.
Step #3: Factor in the Unexpected
In competitive markets, a home that lingers on the market might prompt the seller to offer a concession towards the buyer’s closing costs, providing an added incentive. While this practice can make your home more appealing, it’s essential to have a skilled Realtor® who can help you sell your home quickly to avoid resorting to such measures.
Though rare, it’s best to steer clear of situations where you might need to “pay” a buyer to close the deal.
Ready to Make a Move? If you’re considering selling your home or know someone who is, I’m here to help! Feel free to reply to connect with me on Social: Instagram or Facebook, or send me a text 704-951-4017 – no pressure, no sales tactics, just helpful advice and the guidance you need. If you’re not ready to sell just yet, save this blog post for future reference, so you can come back to it when the time is right.