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Using a real estate agent is often the only option sellers think they have. As housing prices increase, more and more folks are deciding not to use one because of the cost of selling a house in Denver. Let us go into more detail as to why this is and if going the traditional route is a viable option for you.
Quite a few houses on the Multiple Listing Service actually end up not being a fit. Some houses just may be more on the cost of selling a house in Denver simply because of repairs. Some may be on the busy side of a major street instead of 2 blocks away from a quite park. Truth be told, many are going by speculation instead of being practical. Here is what to pay attention to as far as what costs are associated with the sale of a house.
Just like when you are buying an expensive item at the store, you cannot just budget off the base price. You have to include taxes and fees with the purchase. When it comes to the actual closing of the home, the cost of selling a house in Denver will include title insurance, taxes, mortgage payoff and/or any liens to touch on the basics depending on your situation. Every house is going to have a different amount needed to be paid before the sale.
The cost of listing with a real estate agent will be a six percent commission due at closing from the proceeds. Albeit negotiable, it’s still not common for this to be less. It may not include any upfront fees due at signing of a listing agreement or any marketing costs such as flyers, open houses or other advertising used to sell the house. It may be worth it, it may not.
In a real estate market like Denver, quite a few people will be seeing the house. Most like handling the open house on Sundays where most people will be free from work. To keep the house a blank canvas, many sellers pay for storage for any excess belongings that may clutter the home. The other reason this is good to do is so you can hire a cleaning crew. Even used cars look new again with an auto detailing.
It is not uncommon for a seller to not have enough funds to renovate the home prior to selling. It can be the hardest cost of selling a house in Denver. Not only because of the price but because of the high demand for contractors right now and the turn around time associated with that. Not only that but most buyers are looking for something that is “move in ready”. Obviously you are not obligated to have to make any repairs a buyer has an objection with.
Let us say your property does need a lot of work. If you know how to shop around at your local home improvement store, than you can do a drastic change in repairs in the flooring, vanities, cabinets, paint or even windows. All depending on what is needed most.
Everyday that you own the house, is another day that is an added cost of selling a house in Denver. Just holding onto the home is an added cost. Most investors when they buy, renovate and sell a home add in a monthly budget for what it’s going to cost to hold the property until it sells. Do the same. Remember, you will have to take care of the PITI (principle, interest, taxes and insurance), the maintenance, property management (usually if it is a rental) and the final payoffs when it does sell.
When it comes to the cost of selling a house in Denver, there is a lot of money involved in the process. If you sell with a listing agent it’ll be another added expense. If you sell privately to a real estate investor it’ll be without having to pay any closing costs. We cannot say if there is a right or wrong answer here but hopefully this post gave you enough information to decide that for yourself.
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