Calculate Your Union County NC Home Sale Net

How much will your Union County NC home sale net?

No discussion of pricing your home is complete without discussing your Union County NC home sale net proceeds. This occurs after you and your agent have identified the price range that will help you sell your home within a reasonable amount of time.

Union County NC Home Sale Net

How much will you net from the sale of your Union County NC Home?

 

 

 

 

 

 

 

 

 

 

 

 

 

As the final step in this pricing discussion, you should ask the real estate agent to calculate how much money you will net from your Union County NC home sale. The following will help you understand the costs of selling your home and how to arrive at the proceeds that you can expect from your sale. This example pertains to properties sold in North Carolina. Other states and localities will have different costs.

Considering a sale of your current Union County NC home? Request a free comparative market analysis and evaluation.

Seller Closing Costs

When I calculate a net for home sellers, I first estimate typical costs that all sellers pay.  What are they?

Deed Preparation   The seller pays the closing attorney to prepare the deed for signature, a lien waiver and a few other documents. This will average $250 depending on what the individual attorney charges.
Cancel Deed(s) of Trust   A deed of trust secures the property as collateral for any loans or home equity lines, whether there is a balance or not, that are on the property. A typical cost is $50 per deed of trust that must be cancelled by the attorney after closing.
State Revenue Stamps   Every seller must pay an excise tax of $2 per $1000 of the sales price to the state of North Carolina when the property changes title. For example, the seller of a $300,000 property would owe the state $600 upon closing.
Overnight Fees   The closing attorney will charge a fee to handle and ship any loan payoffs to the lenders. A typical cost would be $50 per payoff.
Broker’s Commission   The amount of the commission will be set in the listing agreement between the real estate firm and the seller.

Calculating Your Union County NC Home Sale Net Proceeds

Once you’ve calculated the seller closing costs, you can take the contract sales price and subtract the various items that will reduce the price to arrive at your net proceeds.  This is what those calculations will look like.

Contract Sales Price
Less Closing Costs   These are the items identified above as typical closing costs.
Less 1st Mortgage   This is the balance remaining on your first mortgage.
Less 2nd Mortgage or Home Equity Line   This is the balance remaining on any other mortgages or home equity lines.
Less Mortgage Interest   The payoffs for your mortgages will include the principal balance plus the last month’s interest payment because interest is paid in arrears. The loan’s last interest payment will be prorated to the day of closing.
Less Taxes   You will give the buyer a credit for property taxes owed from the beginning of the year to the day of closing. The buyer will then be responsible for the entire tax bill at the end of the year. If you close near the end of the year after the tax bills come out, the closing attorney will collect your share from you and the buyer’s share for the rest of the year. The attorney will then pay the bill. If you’ve already paid the bill at the end of the year, the buyer will give you a credit for the rest of the year after closing.
Less HOA Fees and Prorations   If your property is in a community governed by an HOA, there will be HOA fees to be prorated.  Sellers also pay for any administrative fees charged by HOA management companies to transfer account information to the new owner.  The HOA fees will be prorated to the day of closing.   If you’ve paid for the entire year, you will receive a credit from the buyer for his share that you’ve already paid.
Less Other Costs   Other items that might be subtracted from your net at closing could include any closing costs that you agree to pay for the buyer, the cost of a home warranty and any repairs that you might agree to do.

Importance of Calculating Proceeds from Your Union County NC Home Sale

With a reliable estimate of what you can expect to net from the sale of your home, you will be much more comfortable in negotiating offers on the property.  I make it a practice to prepare this estimate when the property is listed and when each offer is presented.

Considering a sale of your current Union County NC home? Request a free comparative market analysis and evaluation.
Copyright 2015. Carol Fox.  Allen Tate Realtors. *Calculate Your Union County NC Home Sale Net*

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