If you’re thinking about selling your house, you probably want to know what it will cost and how much you could have left when the sale is finished.
There isn’t one number that fits every seller. Your expenses depend on the offer you accept, the commission you agree to, whether you help with the buyer’s closing costs, and how much you spend preparing the house.
The practical approach is to look at each category separately. Some expenses are part of completing the transaction. Others, such as staging or a pre-listing inspection, are optional.
Start With the Costs and Your Equity
Selling expenses matter, but they are only part of the picture. Your equity can help put those costs into perspective.
Homeowners with substantial equity may be in a position to realize significant gains when they sell. That equity can help cover selling expenses, and there may be enough left to put toward another home purchase.
Rather than assuming what you’ll walk away with, discuss your expected expenses alongside your equity. The goal is to understand both what the sale may cost and what could remain afterward.
Start your planning with these categories:
- Your closing costs and agreed-upon agent commission.
- Any buyer closing costs you agree to cover.
- An optional pre-listing inspection and any repairs you choose to make.
- Optional staging or other presentation changes.
Closing Costs and Agent Commission
Closing costs are the fees paid to finalize the transaction and transfer ownership of the house to the buyer. You will have your own closing expenses, and you may also offer to pay some of the buyer’s costs as a concession.
U.S. News Real Estate describes a general seller closing-cost range of 2% to 4% of the sale price in fees and taxes, in addition to agent commission. Treat that as a planning reference, not an exact estimate for your property.
Taxes vary by state, and agent commissions depend on what you agree to upfront. Your actual costs also depend on the terms of the sale, including any buyer concessions.
Keep Buyer Concessions Separate
If you agree to help with the buyer’s closing costs, include that amount in your planning. It is easy to focus on the offer price without giving the same attention to what you have agreed to pay.
Ask your agent to walk through your own closing expenses, commission and buyer concessions as separate items. That makes it easier to understand where the money is going.
Ask About Possible Credits
If your mortgage payments include money toward property taxes, mortgage escrow or similar items, there may be a credit back at closing that helps offset some selling expenses.
Do not assume a credit will apply. Ask whether any such amounts are expected in your transaction and how they will be reflected in your estimated costs.
Pre-Listing Inspections and Repairs
A pre-listing inspection is an optional step. Its purpose is to give you an idea of what might come up later during the buyer’s inspection.
Those issues may become items the buyer asks you to address through a repair credit or another concession. Learning about them before listing gives you an opportunity to tackle repairs ahead of time and prepare the house to make a strong first impression.
That does not mean every seller needs to order an inspection before putting a house on the market. It is a decision to discuss with your agent, based on what you want to accomplish before listing.
Choose Repairs With a Purpose
Whether or not you get a pre-listing inspection, an agent can offer guidance on paint colors, small cosmetic repairs, what buyers are looking for and whether additional work is worth considering.
The point is not to spend money on every possible improvement. It is to focus on work that is most likely to support the sale and provide a worthwhile return on what you spend, without assuming any particular outcome.
Before committing to a project, ask:
- Is this something worth addressing before listing?
- Does it match what buyers are looking for?
- Would a smaller cosmetic change make more sense?
- Should we leave it alone rather than spend more?
Home Staging and Presentation
Staging is another optional expense. It is intended to help your house show well and stand out to buyers.
Depending on the property, staging might include bringing rental furniture into a vacant house or adding art to make rooms feel warmer. Some staging can also be done virtually after listing photos are taken.
Bankrate cites typical home-staging costs of $782 to $2,817, while noting that prices can vary widely. Use that range as background, not as a quote for your house.
Consider Simpler Changes First
If you would rather skip paid staging, lean on your agent’s advice about what looks good and what feels cluttered.
Suggestions may include removing a chair to improve the flow of a room, adding a rug to make a space feel warmer or taking down personal photographs in selected areas.
Discuss these options before deciding whether to hire an outside stager. Your agent can help you evaluate how much preparation makes sense for your property.
Where an Agent Can Help You Control Costs
There are ways to reduce selling expenses, but be thoughtful about where you cut. Skipping optional staging or a pre-listing inspection is different from deciding to navigate the entire sale without professional help.
An agent can provide customized advice throughout the transaction, including which repairs to consider and how to present the house. That guidance may help you avoid paying for an outside stager or choosing a pre-listing inspection you do not need.
An agent’s role also includes tailored pricing and marketing strategies. Those strategies can highlight your home’s best features and the work you have done to prepare it, potentially supporting a higher sale price. That is a possibility, not a guarantee.
Your Next Step: Build a Property-Specific Estimate
Before spending money on repairs or staging, have a conversation with a local real estate agent about expected closing costs, commission, possible concessions and optional preparation expenses.
Ask for a clear breakdown so you can distinguish costs tied to the transaction from spending you can choose to skip. If selling also means buying your next home, reach out to Ed Parcaut to discuss the mortgage side of that next step and how it fits into your plans.
