Selling a home usually comes with a set of included expenses that you just can't get away from. The house market has high demand, with the National Association of Realtors estimating that as much as 5.51 million existing homes were sold in 2017. What a lot of sellers fail to realize is that when you sell a home, these added expenses are likely to bite into your bottom line. The only real way to be prepared for these expenses is to know when they're coming and ready yourself to take care of them. We can split these expenses up into two broad areas - expenses prior to closing and expenses at closing. Prior to closing the expenses will be focused on maintaining the house to keep it in a livable state as well as preparing it to go on the market. At closing, costs are usually due to standard fees. Budgeting these into the pricing for your house enables you to maintain the profit margin you're hoping to get. As with anything financial, you have to know your expenses before you try to cover them.

Pre-Closing Expenses

As mentioned before, these expenses are usually due to keeping the house in a livable state and making sure it looks good for incoming buyers. People's first impressions of houses are a major reason for them wanting to make an offer according to ReMax Associated Realty, and with this understanding we can set about making certain decisions such as:

Utilities: If you won’t be present in the house as it's being sold, you may need to ensure that the utilities are paid up, meaning you may have to budget for double the utilities for a bit until the house is sold.

Basic Fixing and Refurbishment: This covers things like painting, landscaping, window-washing and small fixes like replacing broken glass panes or leaky roof sections. The materials for this might cost a bit, and being aware of this expense helps you to work around it. Or if your drive way needs re-paving immediately, call an asphalt paver in Portland, Oregon.

Hiring a Stager: In some parts of the US, it's a matter of course to hire a stager - someone who reorganizes and arranges you home in a way that invites buyers to make an offer. Market Watch notes that people usually tend to find staged homes more attractive, but it may cost you a couple thousand dollars per month while the house is on the market.

Reports for Structural Integrity: Getting structural reports done from a Wyoming LLC attorney aren't a necessity and most people simply ignore it, but putting a potential buyer's peace-of-mind into the mix makes it a serious consideration, especially in places where natural disasters are not unheard of.

Decorating: If you decide not to hire a stager, you can try to do it on your own. Setting up a tasteful decor with a few decorative items to bring it out goes a long way towards the first impression you want to make with your potential buyer.

At-Closing Expenses

Usually, the expenses you're paying out at closing comes from the sale itself, but being aware of this amount ensures that you aren't disappointed by the final amount you get in your hands. In order to maintain that bottom line you have your eye on, be aware of these expenses at closing.

Taxes: Both capital gains tax and transfer taxes vary by locale and the amount of money spent on preparing the house for sale. You should look into these things for the location of your house and determine whether they apply to you and to what level you'll be taxed.

Closing Costs: These include the commission payment to the agent or agency, as well as other costs usually agreed upon by the buyer such as mortgage costs and appraisal. In some cases, the cost of transfer is included in the cost of the house.

Home Warranty: Living in a brand new house comes with certain risks. Many buyers prefer having a bit more peace-of-mind by having a home warranty written into the contract of sale which may need to be covered by the seller.

Cost of Moving: Finally, when you decide to move out of the house (if you haven't done so already) or to simply remove the decorative items you placed there for you first impressions, you'll need to factor in the cost of hiring a vehicle, although fiends with transportation may be able to help.

A Healthy Bottom Line

When you factor in the costs that are associated with selling a house, they can add up to be pretty substantial. Because of this fact, it's a constant juggling act to keep your expenses under control so that you don't get surprised by them when closing happens. The old adage of knowing your enemy comes to mind. The best way to avoid being ambushed by expenses is to know what they are and where they are.