Thinking of selling your Toronto Condo or Home but unsure of the costs involved? Here are some TOP 10 Costs to consider when selling:
1. Home Preparation + Repairs: You want to make the condo appeal to the most amount of buyers. This may include decluttering, minor repairs, and cosmetic updates. Money spent on updates now (such as painting) will reap great rewards will a higher final sale price!
2. Real Estate Agent Commission: While it may seem like a significant expense, working with a skilled real estate agent can ultimately save you time and money by maximizing your condo's sale price. All agents charge the same....make sure you work with an experienced one! (PS - we've been selling Real Estate for over 23 years). Don't forget the HST on commission.
3. Legal Fees and Closing Costs: Be prepared for legal fees and closing costs, which cover paperwork, title searches, and transfer taxes associated with finalizing the sale of your condo. We have a list of some great Toronto real estate lawyers to help you with this!
4. Home Staging and Prepping: Staging can transform a home and usually nets in more $ for the seller. It is essential in the Toronto real estate market. Some Toronto real estate agents include this in their commission (PS. WE DO!).
5. Mortgage Penalties: Mortgages have restrictions! Make sure you read the fine print to ensure you have no penalties when selling!
6. Transfer Taxes and Condo Fees: Depending on the final sale price of your condo, you may be responsible for paying transfer taxes and land transfer fees to the municipality. There may also be an adjustment for utilities paid up until the closing date. Don't forget any outstanding condo fees or assessments!
7. Capital Gains Tax: If the condo or home is an investment and you have tenants in it, you may be subject to capital gain tax. Know your tax numbers before you sell so you don't get a surprise on closing!
8. Status Certificate Costs or Home Inspection: If you are selling a condo, the buyer's lawyer will need to review the status certificate from the condo corporation. This can be ordered in advance. For homes, a pre-list home inspection is ideal as this can give buyers' peace of mind before submitting an offer.
9. Nesting Costs: Depending on the state of the market, some sellers choose to move out of the house for the duration of the listing period because it can be so busy with showings. This can be a great tactic in a busy market but make sure to factor this cost in.
10. Moving and Storage Expenses: Finally, don't forget to budget for moving and storage expenses as you prepare to vacate your Toronto condo. Whether you're downsizing or relocating to a new home, these costs can add up quickly. Make sure you have some options before the big day.
If you are looking for a detailed breakdown and have a more informed discussion with one of the best real estate teams in Toronto, give us a call at 416-457-1722. We'd love to meet and help you.