Do you want to sell your house in Long Island? Before you do, Make sure you run the numbers so you know exactly what to expect! A traditional sale using a realtor sale can cost a fortune whereas a direct cash sale won’t usually cost you anything. In this blog, we discuss the costs and timeframe you can expect when selling your house in selling your house in Long Island, NY.
Many people will blindly jump into a listing agreement (aka CONTRACT) with a local Long Island real estate agent without first considering how the process will play out. Before signing an agreement or deciding how you want to sell your house in Long Island, you should try to estimate how long it will take and what it will cost you. You should also consider less traditional and less painful 🙂 selling methods and how they will impact your situation. Keep reading to learn more about running the numbers for selling your house in Long Island, NY.
Repair Costs
The trouble with repair costs is that they can tend to snowball. A leaking pipe that seems like a quick fix, may actually be the source of major water damage to the home. Many homeowners find that once they fix one thing, several more repairs will follow. When putting your house on the MLS in Long Island, you’ll want to put your best foot forward. This means making and noticeable repairs and preparing to be faced with more after the home inspection. Potential buyers will often try to re-negotiate after the appraisal and inspection process, often in an attempt to force the seller to cough up even more cash or by trying to re-negotiate the purchase price. Some sellers will pay for an inspection on their own before listing so they know exactly what they are getting into. This is actually a very good strategy and something that is worth the $500-$600 fee. Since you the seller is hiring your own home inspector, he will have an obligation to tell you any problem areas. A good home inspector can usually give you an estimate on what the repairs will cost. When you and your real estate agent are armed with this information, you can sometimes get ahead of the buyers home inspection process and making it clear that any defects are already built into the price.
Preparation Costs
A lot can go into preparing your house for the MLS in Long Isalnd. You may choose to remove personal belongings and store them elsewhere. Or you may want to stage the house, adding in some pieces here and there to make the house look professionally decorated. You may even go so far as to bring in an actual designer to make the house look as warm and welcoming as possible. No matter how great your house currently is, you will likely find yourself doing some work to make it even better. One thing that must be done in all cases is to clean the house of any extra furniture and clutter. This includes the garage and outside property! This is especially true of smaller homes. Furniture can make a small house look even smaller. That being said, the house also needs to be cleaned. If carpets are trashed they need to be steam cleaned, replaced or removed (if wood floors are underneath).
Marketing Costs
If you decide to list your house with a real estate agent in Long Island, make sure you know which types of marketing will be used to sell your home. Some agents all full-service, pulling out all the bells and whistles, while others will simply put your house on the MLS, hoping for a buyer to come along. Many homeowners find themselves paying for premium listings, professional photography, and other marketing materials. Please understand if this is being provided by you or the agent. If its the agent is should be written specifically in the listing agreement. Will the agent knock on neighborhood doors? Will the agent mail 1000 mailers to local homes. Ask!
Holding Costs
Do you know how much it costs to own your home? Not only are you likely paying a mortgage each month, but you should also account for the property taxes, home insurance, flood insurance, utility bills, repairs costs, and the usual maintenance expenses like landscaping. Ask any real estate investor like me and they will tell you that the longer you own a house, the more it is costing you. It add sup very quick! To end your holding costs right away, consider a direct sale of your house in Long Island. Selling in days, not months, has the potential to save you thousands of dollars that you would have otherwise spent on the home. Plus commission costs and closing cost if you sell to CoMax Properties!
Agent Commissions and Costs
Your agent’s commission will be somewhere around 5% of your final sale price. So let’s say your house sells for $250k. You will immediately be out about $12,500 plus any other fees or reimbursements due to your agent. When you include this hefty amount with all the other costs and fees you will likely face, you may find that a direct sale will be a fast, easier and better way for you to sell.
Closing Costs
Closing costs for a property seller will usually run anywhere from 1-2% of the final sale price. So again, if your house sells for $250k, you will likely be spending another $2,500-$5000 once you reach the closing table. With a direct cash sale to CoMax Properties, you won’t have to worry about the closing costs. We will handle everything so you can sell your house fast and move on.
When deciding whether to list your house with a real estate agent in long island or sell it on your own, it’s important to have a realistic grasp on what everything is really going to cost you. Don’t just rely on your estimated final sale price to tell you which way to sell. You must factor in all of the costs you will face in preparing and holding your house for another 6-9months. Putting your house on the MLS can be expensive. However, for some houses, it makes the most sense. For other properties, a direct cash sale will ultimately help the seller keep more money in their pocket while saving time and energy. It’s important to look at your property and your situation to determine which selling method will be the best for you!
Hi! I am Joe Cordes and I am the owner of CoMax Properties, a local Long Island Home Buying company. If you need to sell an unwanted house in Long Island call me at 516-704-7025 or fill out the form below to get a no obligation CASH Offer.