The biggest expenses for sellers were the real estate agent and buyer’s agent fees. (iStock)
When you combine agent fees and moving costs, home sellers have spent more than they expected this year to secure a home sale, according to real estate brokerage Clever Real Estate. investigation.
According to the survey, sellers spent an average of $54,616 selling their home, with 42% saying costs were higher than they expected. The biggest expenses were listing agent and buyer’s agent fees. Sellers spent an average of $21,603 on these fees, plus another $10,000 on repairs, $8,000 on closing costs and $7,200 on concessions. Moving costs added up to another $3,250. Sellers also spent an average of $4,563 on marketing and staging their property.
High borrowing costs and skyrocketing home prices have kept buyers at bay, and a housing shortage has increased competition for affordable housing, but many sellers say they are having to compromise their priorities to close a sale.
According to the survey, the biggest compromises were over asking price: Sellers are 87% more likely to sell below the asking price in 2020 than they were in 2022, and 34% were unhappy with the final sale price. Additionally, 89% made concessions to buyers, with the median amount being $7,200.
“89% of sellers said they had regrets, with the most common being selling too quickly (30%),” the survey states. “If they had known the true costs of selling a home, 89% of sellers would have approached the selling process differently. Sellers believe that, on average, they could have sold their home for $50,000 more if they had adopted a different strategy.”
Homebuyers can find the best mortgage rate by weighing their options, and they can visit online marketplaces like Credible to compare rates from multiple lenders at once.
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Three things sellers should do
As home prices continue to rise in most cities, some sellers are still making a profit despite unexpected expenses, and while some regret the amount they spent on their home sale, 64% still made a median profit of $100,000.
According to the survey, homes sold through a real estate agent sell for an average of $34,000 more, and 54% of sellers who did not use a real estate agent regret not doing so. Additionally, about 36% of sellers regret not asking for a higher price, 35% wish they had waited longer to receive an offer, 32% said they should have negotiated more with the buyer, and 31% regret not negotiating commission rates with their real estate agent.
If you’re considering buying a home, comparison shopping can help you find the best mortgage rates. To compare options without affecting your credit score, visit Credible.
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This allows sellers to maximize their sales
According to a recent Opendoor study, sellers in the market can attract the highest bids by timing their listing to best highlight their home’s unique features to buyers. study.
“Opendoor recently analyzed home sales over the past five years in over 50 markets,” the study states. “We found that different seasons have surprising characteristics that help homes sell faster and for more. Understanding these seasonal nuances is key to helping buyers and sellers navigate the selling season successfully.”
Opendoor’s analysis found that these four characteristics drive higher closing prices in the spring than in the winter:
- Homes with pools sell for an average of $34,000 more in spring than in winter.
- Homes with basements over 1,000 square feet sell for $32,000 more in spring than in winter.
- Sales prices for homes on large lots (over an acre) are about 5.3% higher in spring than in winter.
- Sales volumes for homes with three or more bedrooms are about 5% higher than in the winter.
If you are considering buying a home, it is a good idea to compare different lenders to find the best mortgage interest rate. Visit Credible to compare different lender options and choose the one with the best interest rate.
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