Fees Incurred when Selling a HouseBy
Selling a house is a process that involves many things to consider and can be a costly experience should you not be prepared. People looking to sell their property need to factor in the fees incurred when selling a house. A number of fees that need to be taken into account are as follows;
• Solicitor / Conveyancer Fees
Conveyance refers to the transfer of legal title of property from one person to another. A solicitor or conveyancer will handle the legal and financial aspects involved with the transaction. A settlement date will be set so that both parties have all details and documentation exchanged, signed and finalised. The settlement date will also give you a time frame so you can plan the vacating process. Solicitor and conveyance fees vary from approximately $500 to $2000.
• Discharge of Mortgage
A certificate of title from the Land Titles Office is presented to you when you purchase a property. If you have a mortgage, the lender retains the paper copy until your loan is paid out. When there is no longer a mortgage over your property, the certificate of title will need to be withdraw at the Land Titles Office. Your title will be updated in the online register and you will receive a paper certificate of title to reflect this.
All rates that you paid as a home owner such as council rates, water rates, land tax and body corporate rates must be paid and finalised prior to, or at settlement. If the rates have not been paid, the buyers’ representative will take the unpaid amount at settlement.
• Agents Commission
Real estate agent commissions are typically charged based on a percentage of the final sale price. Each individual agent charges a different amount and can range from 1.5% to 4.5%. It is wise to compare different agent commissions and take the opportunity to negotiate the fee. On the other hand, should you decide not to elect to go with an agent to sell your house, selling a house privately is another option.
• Advertising & Marketing Costs
In order to attract potential buyers to view your property and to ultimately make offers, a well co-ordinated advertising and marketing campaign needs to be in place. The real estate agent that you select will advise you of the options and costs involved. Advertising costs will differ according to how widespread you would like your campaign to be and whether you want to advertise your property on the Internet, local newspapers, pamphlets, or dedicated property magazines.
If you elect to auction your property, then it is imperative that you have a widespread marketing campaign so that there is a high awareness of your property and the auction date. This will ensure that you will attract a high turnout on the day and therefore sell your property at the best price.
If you want to minimise the fees incurred when selling a house, contact Marc on 0466 300 722 for a confidential no obligation free discussion about selling a house privately.
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