Will you be listing my house on the MLS or actually buying it?

Great question. We’re not agents, and we don’t list houses. We are professional home buyers: We buy houses Calgary that meet our purchasing criteria. From there we may repair the house and resell it to another homeowner or keep it as a rental ourselves.

Do you pay fair prices for properties?

Many of the houses we purchase are below market value (we do this so we can resell it at a profit to another homeowner). We are looking to get a fair discount on a property. However, in our experience, many sellers aren’t necessarily expecting a large “windfall” on the property but rather appreciate that we can offer cash, we close very quickly (no waiting for financing), and no time or effort or expense is required on your part of fix up the property or pay agent fees. If that’s what you’re looking for and you see the value in getting your house sold fast… let’s see if we can come to a fair win-win price. (Besides, our no-obligation pricing commitment means that you do not have to move forward with the offer we give… but it’s good to know what we’re offering!)

How do you determine the price to offer on my house?

Great question, and we’re an open book: Our process is very straightforward. We look at the location of the property, what repairs are needed, the current condition of the property, and values of comparable houses sold in the area recently. As you know, house values have taken a huge hit in the last 5 years and most areas still haven’t seen prices come back up. We take many pieces of information into consideration… and come up with a fair price that works for us and works for you too.

Are there any fees or commissions to work with you?

This is what makes us stand out from the traditional method of selling your house: There are NO fees or commissions when you sell your house to us. We’ll make you an offer, and if it’s a fit then we’ll buy your house (and we’ll often pay for the closing costs too!). No hassle. No fees. We make our money after we pay for repairs on the house (if any) and sell it for a profit (we’re taking the risks here on whether we can sell it for a profit or not, once we buy the house from you… the responsibility is ours and you walk away without the burden of the property and its payments… and often with cash in your hand).

How are you different from a real estate agent?

Real estate agents list properties and hope that someone will buy them. The agent shows the properties to prospective buyers if there are any (the average time to sell a property in many markets right now is 6-12 months) and then take a percentage of the sale price if they find a buyer. Oftentimes, the agent’s commission is 3-6% of the sale price of your house (so if it’s a $100,000 house, you’ll pay between $3,000 – $6,000 in commissions to an agent). Agents provide a great service for those that can wait 6-12 months to sell and who don’t mind giving up some of that sale price to pay for the commissions. But that’s where we’re different: We’re not agents, we’re home buyers. Our company actually buys houses. We don’t list houses. Since we’re actually the one buying the house from you, and we pay with all cash… we can make a decision to buy your house within a couple of days (sometimes the same day). Again, we make our living by taking the risk to buy the house with our own cash, repair the house, and market it ourselves to find a buyer (which is the hard part in this market).

Is there any obligation when I submit my info?

There is absolutely zero obligation for you. Once you tell us a bit about your property, we’ll take a look at things, maybe set up a call with you to find out a bit more, and make you an all-cash offer that’s fair for you and fair for us. From there, it’s 100% your decision on whether or not you’d like to sell your house to us… and we won’t hassle you, won’t harass you… it’s 100% your decision and we’ll let you decide what’s right for you.

How Much Does It Cost To Sell House By Owner?

Selling a house can be an expensive process, and many homeowners wonder whether selling their home by owner can help them save money. While it’s true that selling a house by owner can save on realtor commissions, there are still several costs involved in the process. In this guide, we will discuss the various costs associated with selling a house by owner and provide tips on how to keep these costs as low as possible. By understanding the expenses involved in selling a house by owner, you can better prepare for the process and make informed decisions about your home sale. Let’s try to figure out how much does it cost to sell house by owner.

How Much Does It Cost To Sell House By Owner?

Closing cost

Closing costs are a major expense in any real estate transaction, and it’s important to be aware of the costs involved when selling a house by owner. While many closing costs are traditionally the responsibility of the buyer, sellers also have their share of fees to pay. In some cases, sellers may even be asked to cover some of the buyer’s costs as well. In 2021, the average closing costs for a single-family home were $6,905, according to ClosingCorp. This figure can vary depending on a number of factors, such as the location of the property and the specific terms of the sale.

As a seller, you may be responsible for a variety of costs, including HOA fees, a pre-listing inspection, recording and settlement fees, and title insurance. You may also be asked to pay an escrow fee, a brokerage fee, and a courier fee. These costs can add up quickly, so it’s important to budget accordingly and factor them into your asking price.

Mortgage payoff

When selling your home, the payoff amount on your mortgage statement may not reflect the actual amount you owe. This is because you may need to add prorated accrued interest to the total balance, which can increase the amount you owe. In addition, some mortgages may include a prepayment penalty, and you may need to pay a fee for paying off the mortgage before the end of its term. To avoid surprises, it’s important to check your loan documents or contact your lender to get a clear understanding of your mortgage payoff amount and any associated fees. This will help you accurately calculate your expenses and potential profits from the home sale.

Utility bills

Maintaining the utilities in your home is an essential aspect to consider when selling your house by owner. Even if you plan on vacating the property before selling it, it’s important to continue paying for water, electricity, and gas. If you don’t, you could end up damaging the home or making it difficult for potential buyers to view the property. Keeping the utilities on will ensure that the home is comfortable to showcase and can help you secure a better offer.

Although you won’t be living in the home, you’ll need to account for the utility costs until the new buyer moves in. By examining your current bills, you can estimate how much it will cost each month to keep the utilities on. To save on the expenses, consider taking steps to reduce your usage while still maintaining a comfortable environment for buyers to view.

Moving costs

Moving costs can be a significant expense when you’re selling your home, with prices ranging from $911 to $2,514, according to research. However, if you’re moving across the country or have a lot of furniture, the cost can be much higher. To save money, you might consider doing it yourself, but it’s important to assess whether you’re physically up to the task. While you might save money on the move, you may need to factor in the cost of a massage and lost work days due to strain or injury.

Capital gain taxes

Selling your home will have an impact on your taxes and it’s important to consider the potential capital gains taxes. If you sell your home for more than you originally paid for it, that counts as a capital gain and must be reported on your federal tax return if it’s above a certain threshold.

However, homeowners can exclude up to $250,000 of profit from their taxes ($500,000 for married couples filing jointly), as long as they haven’t used the tax break on another home sale within the past two years. This exemption applies if the home has been your primary residence for at least two out of the previous five years. Even if the property was used as a rental, you may still be eligible for this tax break, but it’s advisable to consult a tax professional for guidance.

Property and transfer taxes

When selling your home, you need to consider property taxes and possibly real estate transfer taxes. Property taxes are usually paid in advance, and the seller must pay a prorated share up to the closing date, with the money put into escrow.

If taxes have already been paid for the year, the seller may receive a rebate at closing, with the buyer reimbursing them for the portion of taxes already paid that apply after the closing date. Real estate transfer taxes are charged by the local government for transferring ownership and are typically a percentage of the sale price. Some states also impose mansion taxes on luxury properties that sell for seven figures or more.

Others costs associated with selling house by owner

If you’re planning to sell your home, there are some additional costs to consider. A pre-sale home inspection can cost around $340, but it can help you identify any major problems before potential buyers come to view the property. You can then make repairs in advance, avoiding any issues that could lead to a buyer demanding repairs later on, or asking you to lower the price. However, if the inspection reveals any significant problems, you may be legally obliged to disclose them to the buyer. Some sellers also purchase home warranty policies, covering appliances and systems, to make the property more attractive to buyers, but these can cost anywhere between $222 and $1,850.

Buyers may also request concessions from the seller, asking for help in covering closing costs such as appraisal, title insurance, and origination fees. You are not obligated to agree to this, but it could be useful in a buyer’s market. However, there are limits based on the type of mortgage the buyer is using and how much they are contributing for a down payment. If the buyer’s home inspection reveals significant issues, you may have to pay for the necessary repairs to close the deal, which could be expensive.

Before selling, you may also want to make home improvements to boost the property’s appeal to buyers. Some renovations can recoup their value when it comes time to sell, but it’s wise to ask a real estate agent if the cost will be worth it. Affordable ways to enhance your property’s appearance, such as cleaning windows and sprucing up the landscaping, could be more cost-effective than significant renovations.

Marketing costs associated with selling house by owner

Photography and videography: Professional photographs and videos are essential to showcasing your home in the best possible light. You may need to hire a professional photographer or videographer to capture high-quality images and videos of your home.

Home staging: Staging your home can help make it more attractive to potential buyers. You may need to hire a professional stager to help arrange your furniture and decor in a way that highlights your home’s best features.

Online listings: You will need to list your home online on websites like Zillow, Trulia, and Realtor.com. Many of these websites require a fee to list your home, and you may need to pay for premium features to increase visibility.

Print advertisements: You may also need to invest in print advertising, such as brochures, flyers, and postcards, to market your home to potential buyers.

Open houses: Holding an open house can help generate interest in your home and bring in potential buyers. However, you may need to pay for advertising to promote the event and provide refreshments for visitors.

Signs and banners: You may need to invest in signs and banners to promote your home in your neighborhood and direct potential buyers to your property.

Professional advice: You may also want to hire a real estate attorney or consultant to provide guidance on the legal and financial aspects of selling your home.

Conclusion

Hope now you know how much does it cost to sell the house by owner. It’s important to keep in mind that these costs can quickly add up, and you may end up spending more money than you would if you had hired a real estate agent. Before deciding to sell your home on your own, it’s important to carefully consider the costs and benefits and make an informed decision.