You’ve decided to sell your house on your own, and you realize there will be some costs involved. So, wisely, you’re now asking: “What should I budget for to sell my house on my own in Kansas City ?”
The answer may surprise you.
It is true that home prices are rising in quite a few markets nationwide. It may also be the case that your home has appreciated considerably over the years. Before you count your profits, you’ll need to factor in some obvious and not-so-obvious costs of selling your house.
What Should I Budget for To Sell My House on My Own in Kansas City
Commissions are paid to the agents who represent a seller or a buyer. It may seem logical that in a hot market you can sell a house yourself and thus avoid the standard commission fees, but it is likely that you still will have some fees to pay. Even if you sell your house on your own, you still have to pay the buyer’s agent’s brokerage fees.
Most buyers aren’t interested in a house that has problems – and most houses need some repairs, even if just cosmetic. Most of the time, you will have to make some repairs before they put your house on the market. In instances where the maintenance has been allowed to lapse, these repair costs can be fairly substantial. A new roof, for example, can set you back by as much as $20,000.
Curb appeal is of utmost importance: it’s what gets potential buyers to stop and then come in the door. Landscaping is the number-one improvement that most enhances curb appeal. The cost of basic professional landscaping may run, on average, just a little over $3,000.
Staging and Photography
Many people – when asking, “What should I budget for to sell my house on my own in Kansas City ?” – often neglect to factor in this expense. But if you don’t want your house to sit on the market for months on end, you probably shouldn’t neglect staging and professional photography.
Staging involves setting up and arranging your home so that it appears as appealing and inviting as possible. And then to display the staging in online listings, which is where a large percentage of buyers begin their search, you will likely need some professional photos, ranging in cost from $500 to $1,000.
If you plan to move out of your current house into a new home, you can’t just shut the utilities off in the home you vacate and intend to sell. Buyers absolutely do not want to walk through a cold (or sweltering) and dark house. (Also keep in mind that if you turn off the electricity and air conditioning during the summer, you run a high risk of developing a mold problem.) So, at the least, you will need to keep the electricity on and probably the gas as well in the wintertime. If the house is one you’ve been living in, then you already know what it will cost you to keep the utilities on.
Capital Gains Taxes
If your house has appreciated quite a bit, you may have to pay capital gains tax. Capital gains is calculated based on the difference between purchase and sale prices, minus the cost of documented improvements. Some exemptions exist, but it is not likely that you can sell without paying a significant percentage of taxes.
So if you’re wondering, “What should I budget for to sell my house on my own in Kansas City ?” you now know the answer is . . . quite a lot, actually.