Learn How much is the Average Costs to sell a house in Phoenix
Selling a house, whether it’s your primary residence or an investment property, can be a complex and financially draining process. It’s crucial to anticipate the average costs to sell a house in Phoenix, especially if you plan to reinvest the proceeds. Unfortunately, many of these expenses are necessary to achieve a fair market value for your home. We’ve outlined these costs below to help you manage your budget, plan ahead, and decide which optional expenses you might want to eliminate.
Breaking Down the Average Costs to Sell a House in Phoenix
You’re likely to spend some money on home improvements before the sale, as these can significantly impact the fair market value. However, some of these preparation costs are optional, and others can take a substantial chunk out of your sales proceeds. Here’s a detailed breakdown of the Average Costs to Sell a House in Phoenix:
1. Cost to Sell a house: Pre-Inspection
Pre-inspecting your home isn’t mandatory, but it’s one of the early steps that contributes to the overall cost to sell a house. Typically priced between $300 to $500, a pre-inspection is a worthwhile investment. It helps uncover minor or major repairs, some of which you might not even notice—and provides a clearer picture of your home’s fair market value. While it adds to your upfront expenses, it can ultimately save you money and stress during negotiations.
2. Cost to Sell a house: Home Repairs and Improvements
After the pre-inspection, you can start addressing the identified issues. While it’s not strictly necessary, you can sell your home as a fixer-upper for a lower price. On the other hand, home repairs and improvements can significantly boost your home’s value. Kitchen and bathroom updates, in particular, tend to pay for themselves by increasing your home’s worth. These upgrades contribute to the overall cost to sell a house, which varies depending on the extent of the repairs and improvements
3. Cost to Sell a house: Professional Cleaning
Professional cleaning is another optional step that contributes to the overall cost to sell a house. It typically ranges from $200 to $400, depending on the size of your home. However, if you have the time and skills, you can handle this yourself. While optional, professional cleaning is highly recommended for busy sellers aiming to maximize their home’s appeal without adding too much to the total cost to sell a house in Phoenix
4. Cost to Sell a house: Landscaping
Landscaping is essential to boosting curb appeal, which directly affects the overall cost to sell a house. Basic tasks like mowing the lawn, trimming hedges, and tidying up your yard are necessary and usually cost around $150. While these are considered standard expenses, more extensive landscaping projects—such as installing garden features or re-sodding—are optional and can significantly increase your total selling costs depending on your goals.
5. Cost to Sell a house: Marketing & Photography
The cost to sell a house often includes marketing expenses, especially if you’re listing it yourself. Posting your home on the local MLS typically costs between $120 to $200, though most realtors cover this fee. If you’re selling FSBO (For Sale by Owner), investing in professional photography is highly recommended buyers tend to view professionally photographed homes more favorably. Since realtors usually handle marketing costs, including photography, hiring one can streamline the process and potentially reduce your out-of-pocket expenses
6. Cost to Sell a house: Home Staging
Home staging helps buyers fall in love with your home, which can significantly speed up the sale. As part of the overall cost to sell a house, staging can run around $2,000 if you’re renting furniture. If you’re using your own pieces, a professional stager will declutter and enhance your space for approximately $800—an investment that often pays off in faster offers and better pricing
7. Cost to Sell a house: Real Estate Commissions
Hiring a realtor will add to the overall cost to sell a house, typically between 5% to 6% of the sale price but it’s highly recommended. Most homeowners aren’t equipped to handle negotiations, home evaluations, and paperwork on their own. Realtors offer several benefits, including
- The ability to sell your property faster
- Negotiating on your behalf
- Getting a fair price
- Advising on whether your home is market-ready or needs repairs
8. Cost to Sell a house: Capital Gains Tax
Capital gains tax is a tax on the profit from the sale of a non-inventory asset, including real estate. Fortunately, in most cases, this tax won’t apply. However, it’s always wise to check. If you’ve lived in your home for a short period, or you’re selling an investment property, vacation home, or any real estate valued over $250,000, you might be liable for capital gains tax.
Additional Considerations That Affect the Cost to Sell a House
Beyond the obvious expenses, several hidden or overlooked factors can influence the total cost to sell a house:
- Closing Costs: These typically include title insurance, escrow fees, and attorney fees, which can add up to 2% to 5% of the sale price.
- Moving Expenses: Depending on the distance and volume of belongings, moving costs can range from a few hundred to several thousand dollars.
- Utilities and Maintenance: Keeping the lights on, lawn trimmed, and property maintained until the sale closes adds to your overall cost to sell a house.
Factoring in these additional expenses helps you set realistic expectations and avoid last-minute budget surprises
Selling a home involves various costs, some of which are optional but can significantly impact the sale price and speed of the transaction. If you’re looking to sell your home hassle-free, as-is, or for cash, consider contacting Oak Street Properties, LLC — a cash home buyer in Arizona that doesn’t require you to spend a penny on home repairs and upgrades. By understanding and planning for these expenses, you can make informed decisions and maximize your profits from the sale of your home.