How Much Will it Cost to Sell My Home
What Are Your Fees?
In a real estate market where home owners have less equity than ever, a reasonable question is, 'How much will it cost me to sell my home?' Many times the home owner is simply asking about the real estate commission involved in selling. Sorry - you won't get a 'pat' answer from me. My answer is, if you are talking about commissions only, it depends. Apart from commission, there are several factors involved in the cost of selling a home.
Tax Credit
This is an important cost many sellers don't take into consideration when they think about selling their home. Since Indiana property taxes are paid in arrears, the buyer will expect the seller to credit them the tax amount until the day of closing. Depending on the month you close, this cost will equal between 12 and 18 months taxes. With the current tax situation, it could equal 2 years. If your yearly taxes are $1800.00, you will be giving the buyer a credit of about $2700.00 for one and a half year's of taxes. If your taxes are held in escrow, you will have a credit from your current lender, but you will have to wait for the refund and pay the tax credit upfront at closing.
Closing Costs
- Title Policy - the cost of title insurance for the new buyer depends on the price of the home. For a $200,000 title insurance policy, it's about $700.00
- TIEFF Fee - $5.00
- Attorney Fees - $100.00
- Tax certification - $15.00
- Deed and Vendor Affidavit - $75.00
These fees vary depending on the Title Company.
Additional Fees
Possible fees depending on the terms of the contract.
- Closing Fee - $200.00-300.00
- Home Warranty - $420.00 - generally accepted seller fee
- Survey - $140.00 - generally accepted seller fee, but not required
- Closing Costs - Any costs agreed to be paid on behalf of the buyer
- Repair Costs - if required and agreed upon
Copyright © 2009 by Paula Henry, All Rights Reserved. *How Much Will it Cost to Sell My Indianapolis Home*
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