Selling your home can be expensive, but there isn’t a lot of focus on the sales process. There is a lot said and written about the cost of buying a home. There are many up-front costs associated with purchasing property, and prospective buyers are left in no doubt as to the various bills they have to pay.
This information is helpful, as it allows prospective buyers to set a budget and plan their finances accordingly. There are many bills and fees associated with selling a home, and it is vital vendors are aware of these costs. When you know the invoices you need to pay, you are far more likely to allocate funds and budget effectively.
Are there penalties associated with paying off the mortgage?
The money received from selling your home inevitably goes towards paying off the mortgage. If you are lucky, there may be money left over, but beware of potential penalties in settling your mortgage early. This may be a cost you have to bear, and if you don’t allocate funds for this cost, you may find yourself short when you sell your home.
Agent fees must be accounted for
The role of an estate agent in selling a home is crucial. Most vendors appreciate this service, and it is one that provides them with value for money. However, this is a cost that requires settling, and it is critical vendors are aware of when the bills are due.
Some agents require up-front payment before they carry out work, other agents operate on a no-sale, no fee basis. Make sure you know how and when you’ll be charged, and allocate funds for this service.
It is also likely you will have legal fees to take care of when selling your home. It is critical you ensure all the legal matters in selling your house have been concluded, so this is a vital service, but it is another cost to consider.
Do you have an EPC?
If you are selling your home, you likely need to have an Energy Performance Certificate, an EPC. Some homes are exempt, but most properties require a valid certificate. If you don’t already hold an EPC, you need to arrange for a review of your home. Hiring a professional to review your home incurs a cost, and it should be part of your budget review process.
It may be that land registry fees are a requirement when you sell your home. Also, if you plan on hiring a professional team to help you move home, this incurs a cost too. A lot of people try to rope in friends and family members to help them move house, but you may need to hire vans to ease the process, and you will want to ensure everyone is fed and watered when they help you out.
The cost of moving home soon adds up, and you need to ensure you have sufficient funds in place to afford your move.If you need assistance from a local specialist when moving, contact Koopers, and we’ll be happy to assist you.