Are you considering selling your home? You may be calculating what costs you can expect to incur. Of course, there are many expenses associated with selling a home, but some can be reduced or eliminated by selling your home for cash.
This blog post will discuss four types of expenses that can be saved by selling your home for cash.
1) Mortgage or Loan Payoff
Mortgages are the money you borrowed to purchase your home and will need to be paid back with interest. It is one of the largest expenses that selling your home for cash can eliminate because once the sale is complete, the mortgage company will be paid off in full.
Another large expense associated with selling your home is realtor fees. Top real estate agents in Essex County typically charge a commission that percentage of the final sale price, ranging from about four to six percent.
When you choose a cash buyer, you can avoid paying this fee altogether because no realtor is involved in the sale.
2) Home Improvement and Maintenance Costs
You may have been delaying some home repairs or improvements because you didn’t want to spend the money, but you can use that money to make those repairs or improvements when you sell your home for cash.
It will increase the home’s value, but it will also make it more attractive to potential buyers.
Some common repairs and improvements that people make when selling their investment properties in Essex county include:
-Fixing any leaks or water damage
-Patching holes in the walls
-Installing new carpet or flooring
-Painting the inside and outside of the house
-Updating the kitchen or bathroom
-Fixing any broken windows or doors
-Replacing the roof
3) Capital Gains Tax
When you sell a home for cash, you may be able to avoid paying capital gains tax. Capital gains tax is applied on the profit from selling an asset, such as a home.
If you have owned the home for more than one year, you may be eligible to exclude up to $250,000 of the gain from your taxes or up to $500,000 if you are married and claiming a joint tax return.
This exclusion can help you keep more of the money you make from selling your home.
4)Additional Selling Costs
Some additional selling costs must be paid to finalize the sale. These can include things like:
- Home staging
- Home warranty
- Transfer taxes
- Settlement agent or attorney fees
- Document preparation fees
- Pest inspection
If you sell your home for cash, you won’t have to worry about these additional fees because the buyer will cover them.
Finest Home buyers is the best home buying company that buys houses for cash. We can provide this unique service by working with a network of professional investors. It allows us to make you a fair all-cash offer on your house regardless of its condition or location.