The time has come to sell your home. You need more room, access to cash or just need a change of scenery. Your reason for selling can greatly affect your choices. Hardship can limit your negotiability which may hinder your ability sell within your time frame. A low inventory market may net more than you expected giving you a lot of new tax questions. By keeping a plan in place before you sell, you will know when to hit the market and what to expect after you close.
Fees, fees and more fees. Seller fees start adding up and to help a buyer get to the table, you may pick up a few of the buyer closing costs as well. If you see that selling is on the horizon, setting a sellers saving plan for these fees will insure you leave the closing table with the maximum profit. Hope for the best, set a plan for the worst.
Typical seller fees can include:
- Escrow and attorney fees.
- Title insurance.
- Transfer taxes.
- Recording fee.
- Mortgage tax.
- Closing fee.
- Brokerage commission.
- Box of dark chocolate for your Realtor. :)
Keep track of every dime during your sale. When tax time rolls around, you and your financial adviser can work together to recoup some of those costs.
Rinse and Repeat.
Take a deep breath. It's over. Sold and closed. But, don't get too comfy. It's now time to settle any debts, find that next home or start investing in income producing property. If you followed these simple steps and kept updated plans and goals, your next venture will be as easy as one.two.three.
Next stop. Income Property Investing! Let's get started!