When it’s time to sell your Morris County home, there are standard costs which are important to keep in mind. Knowing what to expect will help avoid an unpleasant surprise at the time of closing. The more you know the better prepared you’ll be. Below is a summary of typical closing costs home sellers must pay.
The New Jersey Realty Transfer Fee is a seller-paid fee which has been in place since 1968, being established to help cover the costs of administering real estate transactions and documents. The actual fee is determined by the sale price as recorded on the deed. This can range as low as $2.00 per each $500 of the sale price for homes sold for less than $150,000, up to $6.00 per each $500 of the sale price for properties sold at $1,000,000 or more.
Commissions for agents will also vary. You and your Realtor® will have a signed agreement at the start of your list marketing process, this can average as low as 3% up to 6%. Another important aspect to keep in mind, as the seller, you are the one who also pays the buyer agent commissions. These fees are taken from the proceeds of your home’s sale, so you don’t have to worry about out-of-pocket costs, but this does impact your bottom line profit.
Like any professional service, you get what you pay for; the best way to feel good about the commissions you pay to your agent is to find one whom you trust, who provides you with the support and insight you need to successfully sell your home.
Typical real estate closing costs also include appraisal and escrow fees, title fees and title insurance, and taxes applicable to the specific state, county and town where a home is located. In addition to these costs, optional closing costs sellers may pay include a home warranty on behalf of the buyer, or other agreed upon concessions to help seal the deal in the negotiation process.
With buyer request to cover specific costs, keep in mind as the seller you can ask for a balance of financial impact by raising the sale price to help offset some of the expenses. This is another key area where having an experienced Realtor® on your side can make a big difference in the end results.
Keeping closing costs in mind can help you price your home well too. As you determine what list price you want to use, keep seller closing costs in mind. The best way to get a clear estimate of your closing costs is to discuss them in detail with your agent. When you’re ready to sell your home, let me be your experienced Realtor®. My team and I are here to help you succeed through the entire process. Please contact me, Doug Tucker, directly. You can give us a call at (973) 539-6300, or send an email at Tucker@dougtucker.com, and we’ll be happy to answer any questions you have.