You want to sell your house and you’re looking forward to putting some money in your pocket. But did you realize that selling your house may mean you have to PAY money? In this blog post, we break down the costs associated with paying realtor commission in Dallas – Ft. Worth Texas.
Paying Realtor Commission in Dallas – Ft. Worth vs. Selling to an Investor
There is a lot of confusion regarding who pays what when it comes to realtor commissions. To clarify, if you are using an agent to sell your home in Texas, you should be prepared to pay realtor commissions. A real estate agent is a salesperson and the first thing they will do is have you sign a seller’s listing agreement. This contract gives your agent the exclusive right to sell your property for the duration of the agreement. Once the agent gets a signed agreement, he/she will advertise your house on a listing service (such as the MLS) and use various marketing efforts to try to find a buyer. As such, you will end up having to pay some fees to the agent.
Standard 6% Realtor Commission Fees
The largest fee associated with using a realtor to sell your home is the commission fee. Typically, the commission fee is 6% of the sales price of your home. This amount is paid by the seller (you) upon closing.
For Example:
$250,000 (Sale Price) X .06 (6% Commission) = $15,000 Commission Fee
Listing with an Agent – Other Possible Fees
Depending on the agent and broker, there may be other fees and costs associated with selling your house. Some possible expenses include:
- Signage (Yard signs for the house)
- Title Company Fees
- Print Marketing Fees (Brochures)
- Photography Fees
- Survey Fees (To confirm property lines)
- Appraisal Fees
- Repairs (You will need to get things up to code, at a minimum)
Avoid Fees – Sell to a Real Estate Investor
This is the part that surprises most house-sellers; for most investors, there are rarely any fees to cover. Investors typically take care of all fees associated with selling. Plus, there is no commission to pay since investors are not agents. Some investors may require you to pay closing costs, so make sure you ask for the details before making your decision.
Multiple Days on Market – The Real Cost
There is one more expense that you may not consider when deciding to list with an agent versus selling to an investor, OPPORTUNITY COST.
Imagine the scenario where you’ve spent money on repairs and (despite your effort) the house sits on the market for days, maybe even months or years! In the meanwhile, you are stuck paying the property taxes, bills, and mortgage for as long as it takes the agent to find a buyer. In the end, you may even have to drop your list price. Although this isn’t a fee to the agent, it is still an expense that you will potentially have to pay if you choose to list with an agent.
So what’s right for you? It depends on how much you’re willing to pay and how quickly you need to sell.
Happy Buy Homes will pay cash for your home FAST. You will never have to pay any fees or commissions. Even if you owe property taxes, are facing foreclosure…WHATEVER the issue…we would like to give you a zero obligation quote for your house.