The Hidden Costs Involved In Selling A Home

Budgeting For All The Extras In Your Property Sale

Selling your home is about more than paying for a removals firm. Remember to budget for these hidden extras.

With 84,490 UK property sales in June alone, Brits are on the move! But homeowners looking to sell need to be aware of the hidden costs that can eat into their sales profits. Here are some typical costs that need to be accounted for.

Energy Performance Certificate

It is mandatory for vendors to supply an Energy Performance Certificate when putting their property on the market. This allows potential buyers to understand the energy efficiency ratings of the home they may be interested in living in. Rated from A-G, with A being a highly efficient property and G having multiple energy usage issues, the EPC is conducted by external domestic energy assessors, but this can usually be arranged through your local estate agent. The cost of this requirement usually falls between £50-120.

Conveyancing Fees

Unless you come from a legal background, you’ll require the work of a professional conveyancer to carry out your house sale. Their services usually cost less than when buying a home, but it’s important to get a good deal on your conveyancing package, and ensure that you know exactly what it includes before you commit to a contract. As a guide, make sure you won’t be billed extra for postage, photocopying fees or phone calls. This should all be part of the flat fee that you’ve signed up for.

Mortgage Costs

You may be paying off the cost of your mortgage with your sale, or alternatively move it over to your new property. But in some cases, particularly if you’re using the sale as a change to re- mortgage or switch to a different product, you may be subject to an early repayment fee, as well as arrangement and product fees for your new loan. A financial advisor will be able to provide you with advice on the best way to avoid extra costs. However, it’s worth bearing in mind that many of these fees can be tagged onto the cost of the overall mortgage, or are payable at the end of the term.

Preparing Your Home For Sale

To stand the best chance of attracting potential buyers to view your property, homeowners often feel motivated to investing in some cosmetic upgrades to help encourage viewings. But such works can add up, whether you’re looking at a DIY paint job, or replacing the carpets, so be careful to seek advice from your estate agent during the valuation stage as to whether a little extra work will really add anything onto the asking price. Most homeowners would rather save their money to upgrade their new home, rather than the property they’re leaving behind.

Choosing Your Estate Agent

With so many hidden extras to account for during the house selling process, it’s important that you choose an estate agent who can get you the best price for your property. Although some sellers are tempted by the low fees charged by online agents, the reality is that complaints to the Property Ombudsman have risen by 63% in a year due to issues with transaction handling and timescales. As a result, homeowners are ditching the online agents they’ve already paid for and are switching to traditional high street agents instead. If you’re selling your Essex home and register with a local Chelmsford estate agent, then you’ll pay a flat fee for them to market your home, conduct viewings and handle all negotiations.

Now you know all the costs involved with a house sale, you’ll be able to make a budget and talk to your estate agent about how much you can expect to market your property for. Then it won’t be long before the offers are flooding in!