What Are The Different Fees Paid To Agents Versus Investors?
You want to sell your house in Omaha, Nebraska and you’re looking forward to putting some money in your pocket. But did you realize that selling your house through a real estate agent means you will pay a commission, closing costs and costs associated with getting the house ready to sell. Not to mention the holding costs while it’s on the market like taxes, insurance, utilities, any mortgage payments, and day to day maintenance. It can cost you thousands of dollars to sell your house through a real estate agent. On the other hand, if you looking to sell your house fast in Omaha, NE and the surrounding area you can save thousands of dollars in commissions and all of the closing costs. In this blog post, we break down what are the different fees paid to agents versus paid to investors…
It’s true… selling your house can sometimes mean that you have to pay thousands of dollars in real estate commissions and closing costs if you choose to sell your house the traditional way through a real estate agent. (This isn’t always the case but it often is.) We want you to know about the different fees you have to pay because this information may help you decide whether to work with a real estate agent or to sell your house directly to an investor.
What Are The Different Fees Paid To Agents Versus Paid To Investors? — Agent Fees
A real estate agent is a salesperson and they will try to find a buyer to buy your house. In order to do this, they will list your house in a listing service like the MLS (multiple listing service), a good real estate agent will have professional photos done of your house (which are not cheap) and use various marketing efforts to try and find a buyer.
These type of expenses is why you’ll end up having to pay thousands of dollars in fees and commission to the real estate agent. Those fees will include a commission if they can sell the house (this is the highest amount of money you’ll have to pay and it’s often about 67% of the sale price of the house or about $7,000 for every $100,000). If you are selling a $275,000 you will pay close to $20,000.00 just in commission. Then you have the closing costs holding costs, marketing costs etc. etc. There may be other fees you have to pay as well, and these might include different advertising and marketing fees or other costs associated with selling your house. There might be a fee to list your house (multiple listing service), there will be a fee to the agent’s brokerage for using that real estate company, even though the broker really provides no value to your sale. There might be a fee to get a sign in front of your house or there might be a fee for the title company… the list goes on and on. You can ask the real estate agent about these and they should tell you. You should always know all the costs that will be associated with listing your house with a real estate broker and real estate agent.
What Are The Different Fees Paid To Agents Versus Paid To Investors? — Investor Fees
This is the part that surprises most house-sellers: there are rarely any fees when selling your house to an investor. Investors will usually take care of all fees associated with selling. Plus there’s no commission to pay because they’re not agents so they’re not listing your house. In most instances, you will not even be responsible for closing costs but this depends on the investor so make sure you ask the investor who pays for those costs. No Commissions, No Closing Costs, No Holding Costs, No Costs to Get Your Home Ready to Sell. As you can see you will SAVE thousands of dollars in commissions, closings costs and other related costs when selling through a real estate investor.
The One “Fee” You May Not Be Thinking Of
There’s one more cost (“fee”) that you might not be thinking of: when you work with an agent, they’ll get you to make repairs to get your house to get it ready to sell which could cost you a lot of money. then you’ll have to pay bills, (utility, insurance, day to day maintenance) and property taxes for as long as it takes the agent to find a buyer. Although this isn’t a fee to the agent, it’s an expensive cost you’ll have to pay until the agent finds a buyer… which could take months. When you sell the house to an investor, they buy quickly so you end up saving this cost as well.
So what’s right for you? It depends on how much you’re willing to pay and how quickly you need to sell.
If you want to go over this in more detail or confirm that we won’t charge you any fees if you sell your house to us then please get in touch and we’ll be happy to walk you through it.