Home Selling Tips Archives

Understanding Closing Costs Involved with Buying or Selling a Home

….so what’s your bottom line?

Closing costs are big part of buying or selling a home. Each side of the transaction has its own set of costs, so it’s very important to know what they are in order to make a calculated estimate as to how much money you’re going to make from the sale of your home or how much money you need to purchase your dream home.

Buying a Home:

Aside from your down payment, closing costs are fees associated with your home purchase and home loan typically payable at or before the closing. The amount you’ll spend on closing costs can be a surprising aspect of buying a home if you aren’t prepared. They can affect your budget, so it’s a good idea to know what they are before making an offer on a home.

So just how much are closing costs? As a rule of thumb, closing costs to buy a home can run between 2 and 5 percent of the purchase price. The wide range varies depending on where you live, the price of the property you purchase and the type of loan you choose. The following is a list of common closing costs. You may not see all of them in your transaction and/or there may be additional fees not reflected below, but this list covers the vast majority of the types of fees you can expect. Always check with your lender and closing agency you’re working with prior to your closing to confirm exactly how much your closing costs will be.

Loan Application Fee
Appraisal Fee (sometimes payable prior to closing)
Attorney Fee
Escrow Fee
Courier Fee
Credit Report Fee
Escrow Deposit for Property Taxes
FHA Up-Front Mortgage Insurance Premium if you have an FHA loan
Flood Determination or Life of Loan Coverage
Home Inspection (generally payable prior to closing)
Homeowners Insurance
Lender’s Policy Title Insurance
Lead-Based Paint Inspection
Loan Discount Points
Owner’s Policy Title Insurance
Loan Origination Fee
Pest Inspection (sometimes payable prior to closing)
Prepaid Interest
Private Mortgage Insurance (PMI)
Property Tax Escrow
Recording Fees
Survey Fee
Title Company Title Search Fee
Transfer Taxes
Underwriting Fee
VA Funding Fee (if you have a VA loan)
Pro-Rated Property Taxes (based on the closing date)

Selling a Home:

It’s important to have a basic understanding of the costs associated with selling your home as well. Knowing these costs will allow you to come up with an accurate estimate of how much you will actually make from the sale of your home. Here is a list of costs you may need to account for:

Mortgage Balance(s) (call your lender for the payoff)
Realtor Commission
Buyer Closing Costs Paid for by the Seller
Outstanding HOA Dues or Assessments
Pro-Rated Property Taxes (based on your closing date)
Title or Attorney Closing/Settlement Fees (contact the closing agent for this figure)
Pre-Paid Home Warranty for the Buyer
Outstanding Invoices to Contractors for Repairs
Outstanding Liens or Judgments Attached to Your Home

Our expert staff is always available to answer any questions related to closing costs from buying our selling a home. Before making a decision on whether or make or accept an offer, we can help you put together a preliminary “net sheet” that will give a solid estimate as to what your closing costs will be.

6 Landscaping Tips to Boost Curb Appeal

6 Things You Can Do To Make People Fall In Love With Your Home!

You’ve heard it before: You only have one chance to make a great first impression! This is especially important when selling your home. Put yourself in the mind of a potential buyer: How will they feel the first time they pull up to your home? Does it scream “Buy me!” or “Drive on by?” The appearance of your landscaping should not be overlooked when placing that “For Sale” sign in your yard. A well-kept lot with neat landscaping goes a long way with buyers. It shows that you care about the property and have taken good care of it. Here are a few tips to help keep your yard looking its best without breaking the bank…

1. Keep it neat!

Mow, trim, and cut should be your three buzzwords here. A little bit of yard maintenance goes a long way. If you can’t handle the maintenance yourself, consider hiring a landscaping company to avoid the perils of a scraggly and overgrown yard. On the same note, be sure that bikes, toys, trash cans, garden tools, etc. are all stashed out of sight.

2. Plant native plants.

Add some new life to your yard with native plants. They’re aesthetically pleasing, practical, and ecologically valuable for landscaping. Native plants are the hardiest plants. Learn more about plants native to the Knoxville area at: http://www.se-eppc.org/pubs/east.pdf

3. Define borders and add mulch.

Clean edges trick the eye into thinking that the entire landscape is neat and well-kept. Outlining the border of a garden bed with spray chalk, followed by the use of a mattock or pulaski to chip away any encroaching lawn will help create a well-defined area. Afterward, add a layer of mulch to refine the look! It will help keep the weeds at bay while your home is on the market, AND will even out the overall landscaping look.

4. Get rid of the dead weight.

This goes along with number our first point but deserves its own mention. Be absolutely sure to remove all dead or dying shrubs and perennials. If there was any sign of disease or infestation in your landscaping, dispose of these items in black trash bags; DO NOT compost them with other yard waste.

5. Inspect sprinklers and irrigation.

You can have the most beautiful yard on the block, but if it’s not watered correctly then what’s the point? Be sure your sprinkler system and timers are working. It’s the least you can do for your landscaping! This inspection should be one you perform each spring/summer.

6. Light it up!

Remember, buyers might do a drive-by in the evening. Consider adding some landscape lighting to boost curb appeal and add value to your home. Solar pathway lighting and accent lighting that highlights landscaping features are both relatively simple ways to step it up in the yard department.

If you’re considering selling your home and need some advice on getting it ready to put on the market, don’t hesitate to contact us for a no-obligation home evaluation. You can also visit our website to get a free online home value estimate.

8 Things To Do Before You Pack!

ways to make your move less stressful…

So your house is sold and the closing date is set. Now it’s time to coordinate your move! While this is typically a stressful part of the home selling process, the right preparation goes a long way to making your move as smooth as possible. Here are some key items to address before you even think about packing any boxes…

1. GET ORGANIZED

Create a “master list” of everything that needs to be done before, during, and after the move to make sure you don’t miss a beat.

2. FIND A MOVING COMPANY

If you’re using a moving service, get estimates from a minimum of three companies. We’ll be happy to provide you with some referrals if you don’t know any good moving companies in the area

3. DE-CLUTTER

Try to get your house organized and de-cluttered so it will be easier to pack when the times comes.

4. PURGE

Get rid of the things that no longer serve you. Take an inventory of your belongings and determine what you want to keep. Donate, sell, or trash the unwanted items. Some organizations like KARM will even come to your house and pick up any large items you want to donate.

5. NOTIFY

Notify the post office, banks, credit card companies, utility companies, past employers (for tax return purposes), subscriptions, family and friends, etc. of the address change and estimated move-out date. Schedule utilities and installation appointments at your new home BEFORE you move into your new place.

6. FIND RELOCATION RESOURCES

If you’re moving to the Knoxville area, contact us and request a relocation package. It will give you a good start towards understanding what’s available and where things are.

7. EMBRACE THE CLOUD

Moving is the perfect time to make sure all of your computer and electronic devices are properly backed-up in case anything gets lost or damaged during the move. Use a cloud-based system (i.e. Dropbox or iCloud) or a portable hard drive to backup all of your files.

8. VISUALIZE YOUR NEW HOME

When the going gets tough and the move gets tricky, remember to take a deep breath. Before you know it, you’ll be sleeping soundly in your beautiful new home!