Selling your home is just as big a step as buying one. But it’s not as simple as listing it for sale. There are a lot of steps you need to follow and things you should look out for so that you’re not surprised if an extra cost comes up or it takes longer to sell than you thought.
Here are 6 things you need to know before selling your home in Bentonville, AR.
1. You May Need To Make Repairs Before You Can Sell
If you decide to put your house on the market, you must be aware that you may need to make some repairs before you can sell it.
These repairs can range from small cosmetic changes that will make your home more appealing to prospective buyers, to big fixes that are necessary for your house to pass inspection.
A home inspection typically occurs before the sale is finalized. Buyers will often request one on behalf of their insurance companies to make sure the house is in good condition. Anything that doesn’t pass inspection, such as a damaged roof or exposed wiring, may need to be fixed if the buyer insists on it.
It may benefit you to book a home inspection of your own before you put your home up for sale. This way, you can find out ahead of time what, if anything, in your home or on your property needs to be fixed before it can be sold.
2. You’ll Need To Keep Your House Clean And Tidy For Viewings
When you put your house up for sale, whether you’re selling it yourself or working with a realtor, you must be prepared to keep your home presentable for viewings. Viewings can happen any time and any day of the week, which is why you should keep your house tidy at all times while it’s on the market.
In addition, you should keep in close contact with your realtor so that they will let you know when they plan to bring prospective buyers over. This way, you will have plenty of advance notice to clean up your home and then make yourself scarce.
3. It May Take Longer To Sell Your House Than You Thought
Selling a house is not always quick and easy. In fact, in Arkansas, the average amount of time it takes to sell a home is 84 days. That includes putting it on the market, getting an offer, and closing the deal.
84 days is nearly three months. That’s a long time to wait to sell your home, especially if you need the profits from the sale to move somewhere else. That’s why you should prepare for the wait time in advance. Don’t hinge all your future plans on selling your home immediately.
It’s critical that you prepare for a long wait because, unfortunately, the selling process can take even longer than three months. In some cases, you may get all the way to the final day of closing, only for the buyer to back out at the last minute. Then you have to start the process all over again and hope the next deal doesn’t fall through.
Selling your home can be frustrating due to the unpredictability of the market and prospective buyers. The key is to not lose hope and to follow the recommendations of your realtor to make your house as enticing to buyers as possible.
4. You Won’t Get All The Money From The Sale
When you sell your home, be aware that you won’t get all the money from the sale.
The money from the sale will go toward paying off any pre-existing debt you have for your old home, such as a mortgage; covering realtor fees; covering repair allowances that were included in the sales contract; closing fees; and paying legal fees such as the government recording fee.
After all those items are paid for, whatever is left over is your profit from the sale.
5. Your Profits From The House Sale Could Be Taxable Income
Your profits from the sale of your home are considered capital gains and therefore taxable income.
Fortunately, the IRS exempts most homeowners from paying a capital gains tax. As long as you (and your spouse, if you’re filing jointly) lived in your home for at least two of the last five years, and you haven’t used this exemption in the last two years (i.e., you sold another home within the past 24 months and qualified for the exemption), you can avoid getting taxed on your home sale.
Conclusion
After you’re finished selling your home in Bentonville, AR, you may be looking to buy another one in the same area. If so, you’ll need to purchase a home insurance policy.
To compare the rates of dozens of home insurance in the Bentonville, Arkansas area, call G&G Independent Insurance or click here for a free quote.
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