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Cost of Traditional Sale

When contemplating the sale of your property most persons are well aware of the standard Realtor Commissions that apply.  However, most sellers of real estate are not full aware of all of the other costs that are typical to a standard real estate sale.   Most people don't fully understand these costs and won't even be aware of them until they are at the closing table.

 

Most common costs that are involved in a typical real estate sale include:

  • Realtor Commission ( 6%-7%)

  • Price Discount to New Buyer (3%-5%)

  • Seller Closing Costs ( 2%-4%)

  • Seller Concessions (3%-5%)

What does this all mean?  Well it means that in a typical real estate transaction it is possible that you may only net  79% to 86% of the home's value.  If you are lucky your total transactional costs may only be 10%, however, if you are closer to the average of typical sales your total transactional costs will be approximately 15%.

 

Many sellers of real estate don't realize that there are so many transactional fees included in the sale of a home.  This ultimately means that sometimes sellers of real estate end up owing money when they sell their property because they did not have enough equity in the property to cover the various fees and concessions that were needed.  Many sellers believe that they can easily sell their home via a "For Sale By Owner" method and save the 6% to 7% they would have otherwise paid the realtor.  This is certainly an option but most real estate professionals will advise that when advertising costs, additional house payments and aggravation are added into the mix - most FSBO's don't even break even.

 

So what is an educated, motivated, and concerned seller left to do?  Contact NestBrokers !

 

At NestBrokers we specialize in creating winning transactions for all parties.  Below is a quick example of how a traditional sale might stack up against a NestBrokers offer.

$250,000 Single Family Home

Traditional Sale Cost NestBrokers Sale Cost
7% Realtor Commission $17,500 $0
Price Discount to New Traditional Buyer (3%) $7,500 $0
Seller Closing Costs (2%) $5,000 $0
Seller Repair Concessions (4%) $10,000 $0
Additional Mtg. Payments for 4 Months $6,000 $0
Total Reduction $46,000 $37,500
Net Proceeds to Owner $204,000 $212,500

  

In this particular example the home owner saved over $8,500 dollars by choosing a more efficient, professional, no-hassle approach.  Each scenario is different and each home is unique but it is important that all home owners understand the typical transactional costs involved in selling a home.  NestBrokers and our team of professional investors look forward to working with you on the sale of your next property.

NestBrokers Advantage
  • Cash Offers
  • Other Buy out Options
  • Fast Closings
  • Preferred Listings
  • Premium Listings
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