_When selling your home here, you'll want to be aware of the expenses involved. I will provide you a list of estimated expenses based on the list price or projected sales price of your home. If you'd just like to get an idea for now, here are some of the expenses you may have...

• Mortgage Payoff - Any loan(s) on your home must be paid in full at closing.
  

• Sales Commission - If you have a REALTOR® list your home for sale, the commission will pay your REALTOR® and the one that brought the buyer. There is NOT a standard commission rate (that would be against the law) but each office might have an office rate. For the purpose of estimating expenses, you might figure the commission to be 6% of the sales price.
  

• Abstrating/Title Search - This fee varies, depending on the amount of work the title company does. I usually estimate $400, but it is often more or less than that.
  

• Escrow Closing Fee - The closing companies usually charge $300 for the closing. The buyer pays half and the seller pays half, so this is usually $150.
  

• Doc Stamps - Figure $1.50 per $1,000 of the sales price.
  

• Prorated Property Taxes - At closing, you will pay the buyers the prorated amount of property taxes for the number of days this year that you owned the home. The buyers will then pay the entire year's taxes at the end of the year.
  

• Inspection Repairs? - In the Purchase Agreement, the buyer has likely asked you to pay a certain amount in repairs called the "Repair Cap." The repairs needed are usually found during the buyer's inspections. A common amount is $500, but you might estimate $1,000 to be safer.
  

• Home Warranty? - This is a possible expense, only if you agree to pay for it in the contract. There are different warranties available, but they are approx. $415 - $595.
  

• Buyer's Closing Costs? - It is quite common for the seller to pay for some of the buyer's closing costs. This helps many buyers buy a home because they don't have to have the $2,400 - $5,000+ from their pocket to come to closing. If you pay some of it for them, it comes from your proceeds of the sale at closing. With most conventional loans the seller CAN pay up to 3% of the sales price toward the buyer's closing costs.
  

• Other? - Other costs can be associated with selling your home, such as unpaid bills for repairs, liens, unpaid homeowner association dues or maybe the buyer has asked for a carpet allowance, etc.
  

There may be other fees involved, but these are the main ones that I usually estimate.

If I am listing your home, I would provide written estimated expenses and net proceeds based on the price of your home. You WON'T have to figure it out yourself!

Please don't let this list scare you... just call or e-mail me if you have any questions.

If you're thinking about selling, but haven't chosen a REALTOR® yet, see how you'll get your money's worth out of me!

Thank you!
Ty Tompkins

580-402-0408