You may be wondering about the costs to sell a house in New Jersey. Perhaps you feel it’s time to sell and want to inquire before moving forward. If it was me, I’d sure like to know how much my closing costs will be. It’s not a straightforward question to answer but let’s take a look. And don’t forget to contact me below to allow me to assist in selling your home.
In New Jersey, the seller pays the commissions to the real estate agents. All commissions are negotiable but the average is 6%. Why this number? Well, 3% usually goes to the agent who lists your home and the other 3% goes to the agent who brings the buyer. This percentage is calculated by the sales price. If you sell your home for $200,000 then you will pay $12,000 in commissions.
Seller’s Closing Costs
Seller’s closing costs usually fall in the 1% range which covers such items as title insurance, escrow fees, transfer tax, processing fees and prorated property taxes to name a few. There are more costs to sell a house in New Jersey. Read on to see what other expenses you might have!
Once you are under contract the buyers have usually investigate their due diligence by having a home inspection performed. After the inspection they are given a detailed report of everything that is wrong with your house. In many cases they would like some items of concerned repaired. This is something to consider in the costs to sell a house in New Jersey. Do you have extra funds before closing to make these repairs? You can always say no but the buyer may then bail on the contract.
Buyers Closing Costs
Do you know that many buyers will need some financial assistance to close on your home? It is pretty common for a buyer to ask a seller to pay some of their own closing costs. Sometimes all of them! You may get a nice offer and notice the buyer is asking for 3-4% to cover their buyers costs.
Other Possible Out of Pocket Expenses
- HOA – If your home is in an HOA you may have to pay some fees upfront prior to closing. This can include catching up on the dues or the homeowners association resale letter which can be a few hundred dollars.
- Taxes – Taxes will need to be paid and/or prorated. This should be included in your closing costs but always be ready for surprises.
- Certificate of Occupancy – A Certificate of Occupancy will be needed to close. You should take care of this as soon as possible, even before listing your home. There will be a fee to have an inspection by the township or fire department. Check your towns requirements on smoke detectors, carbon monoxide detectors, fire extinguishers. They may also require chimney or heat certs. If you need to correct anything that’s not up to code it may cost extra out of pocket for you.
- Surprises – As you may know, the process of selling a house can be quite complicated. There are always last minute items that come up. Don’t be surprised if some last minute items come up that you may have to pay for.
Contact Me to Sell Your Home
So, there are your costs to sell a house in New Jersey. You could look into selling your home without a realtor as well. I am a real estate agent in the South Jersey area and I can assist you in the sale of your home. Contact me on the form below. You can also get a free home valuation.