There are a few costs associated with selling a home that you need to know.
In North Carolina, there are three home selling costs to note:
• The total commission. The commission could be 5% or 6%, and that covers both the buyer’s agent and the seller’s agent.
• The preparation of the deed and the lien waiver. The deed is the legal document that transfers ownership of the property, and the lien waiver is the document that states there are no liens on the property. Those documents are prepared by a lawyer and must be both signed and notarized. The typical cost for that is about $150.
•The revenue stamps. Also called a transfer fee, this cost amounts to $2 per $1,000 of the home’s purchase price. For example, if you bought a $500,000 house, you’d pay $1,000 in revenue stamps at closing.
“When taxes are paid at closing, they come from your proceeds.”
In addition, there are a few other costs to keep in mind, like your taxes. You’ll be responsible for paying your prorated taxes from January 1 through the day of closing. At closing, your account is debited and the buyer’s account is credited. When the tax bill comes out, the buyer pays it in full.
Remember that when your taxes are paid at closing, they come from your proceeds, not your escrow account; around a month after your loan is closed out, you’ll get a nice, big check in the mail. You’ll also have to pay any costs incurred from preparing your home for sale. You may also choose to have a pre-sale inspection and any repairs associated with that inspection.
If you have questions about any of these home selling costs or selling a home in general, don’t hesitate to reach out to me. I’d love to hear from you.