What’s The Cost Of Selling A House?

What’s The Cost Of Selling A House?

Pre-Sale Costs

Before you list your property you need to consider the pre-sale costs. These costs can add value to your home and attract buyers. Here are some common pre-sale costs:

• Building and Pest Inspection: This is recommended if you own a house or townhouse. It is best to understand if you have any major defects, moisture issues, or termites before putting your home on the market. A building and pest inspection will typically cost around $600 depending on the size of the property and some inspectors will be happy to amend the report once repairs are completed. The report ca then be used as a selling tool.
• Home Staging: Hiring a professional to stage your home with furniture and decor can make a big impact. This cost, from $1,000 to $6,000 or more depending on the size of the property and the level of staging required, will help buyers imagine themselves living in the space.
• Pre-Sale Repairs: Fix any damage or issues, leaky taps, broken tiles, cracked walls etc. The cost of these repairs can vary but they are essential to present a well maintained property.
• Professional Photography: Good photos are essential for a strong online presence. Professional photography costs from $200 to $1,000 or more depending on the number of photos and level of editing required.
• Marketing Costs: Good marketing is key to getting to buyers. This includes online listings, print ads and open houses. Marketing costs vary depending on the agent’s strategy and level of exposure required.

By spending on these pre-sale costs you can add value to your property and potentially get a higher sale price.

Real Estate Agent Fees

Agent fees cover services like market analysis, pricing advice, Preparing all of the marketing, conduction open homes, preparing legal documents, and negotiation to get the best possible outcome. At Hugo Alexander our fee structure is transparent and designed to add value and align with your goals. There are also optional costs that while not compulsory can add to the return on investment by adding value and marketability to the property.

Digital Marketing Costs

In today’s market digital marketing is key to getting to buyers especially when selling an existing property. Our digital marketing services at Hugo Alexander are tailored to each property and will give you strong online presence. These may include:

• Digital Brochures: Professionally designed digital materials showcasing the property.
• Real Estate Portal Listings: Listings on major portals to capture high search traffic.
• Social Media Advertising: Targeted ads on Facebook and Instagram to reach a wider audience.
• Professional Photography: Good photos of your property.
• Drone Footage: Aerial views of the property and surrounding area, good for larger properties or unique layouts.

Print Marketing Costs

In addition to digital marketing print marketing can be powerful especially in local markets. We offer print options to increase exposure:

• Signage: Eye catching signs for local traffic.
• Property Brochures: Brochures for open homes and inspections.
• Newspaper and Magazine Ads: Ads in selected publications to target specific buyer demographics.
• Professional Copywriting: Property descriptions that highlight the unique features and benefits.

Legal and Conveyancing Fees

Conveyancing is the legal transfer of property ownership which includes legal fees paid to a licensed conveyancer or solicitor to manage the documents and process. A licensed conveyancer or solicitor prepares and manages the documents to ensure compliance and accuracy. We recommend experienced professionals who can take care of everything to give you peace of mind.

Property Preparation and Staging

Preparing your property for sale can add to buyer interest. At Hugo Alexander we help our clients decide what will add the most value. Typical preparation costs may include:

• Professional Cleaning: Full clean of the home to present it at its best.
• Landscaping and Repairs: Minor work on outdoor areas and any needed repairs.
• Home Staging: Styling furniture and décor to create a warm and inviting atmosphere and showcase the property.

Capital Gains Tax (CGT)

For investment properties CGT applies to any profit from the sale. The amount of CGT payable is dependent on the length of time you’ve owned the asset, your marginal tax rate and any capital losses you can offset against the gain. We recommend your accountant to understand your obligations and we can put you in touch with trusted professionals for advice.

Mortgage Discharge Fees and Lender Costs

If you’re selling a property with an existing mortgage you may need to pay lender fees which can include discharge fees from your lender. Breaking a fixed term loan may also incur early exit fees so it’s worth reviewing your loan terms before listing your property.

Moving and Additional Costs

Moving costs including packing, transportation and temporary storage may also need to be considered. Homeowners should also be aware of the upfront costs involved such as lender fees for selling a property and transferring a mortgage. And other costs like council rates, utility adjustments and removal fees can add up. Being aware of these costs upfront will prevent surprises and make the transition smoother.

State-Specific Costs

The cost of selling a house can vary greatly depending on the state or territory the property is in. Here’s a breakdown of the state specific costs:

• New South Wales: Stamp duty rates 2% to 7% of the purchase price depending on the value of the property. Conveyancing fees $800 to $2,000.
• Victoria: Stamp duty rates 2% to 6% of the purchase price depending on the value of the property. Conveyancing fees $800 to $2,000.
• Queensland: Stamp duty rates 1% to 5% of the purchase price depending on the value of the property. Conveyancing fees $600 to $1,800.
• South Australia: Stamp duty rates 1% to 5% of the purchase price depending on the value of the property. Conveyancing fees $600 to $1,800.
• Western Australia: Stamp duty rates 1% to 5% of the purchase price depending on the value of the property. Conveyancing fees $600 to $1,800.

Knowing these state specific costs will help towards planning your finances when selling a house.

Why Hugo Alexander Property Group?

At Hugo Alexander we take a holistic approach to selling costs so our clients know every expense and how it contributes to a sale. Everything we recommend is proven to get the very best return on investment. With a 99% success rate, we provide a greater level of certainty so that you can make your future plans and keep them. Our team will provide expert advice, cost effective marketing and a clear process from start to finish. Ready to sell with confidence? Contact Hugo Alexander Property Group to chat about your goals and how we can help.