When selling your Chicago house, there are several things to consider. From property taxes and closing costs to inspections and title insurance, understanding these costs up-front can help you manage your budget and expectations better and ensure that you sell your Chicago home fast without any missteps.
While each of these may seem small individually, they can add up quickly when added together – so it’s important to take them into consideration before making a final decision on closing any real estate deal in Chicago, IL.
A Breakdown of Home Selling Costs in Chicago
Preparing your Home for Sale: 2-3%
Although you may incur 2-3% in expenses associated with prepping for sale, this cost could be much higher depending on just what condition your property is in.
Before putting your house on the market, there are several steps to take that will make it more appealing and potentially increase its value. Clean or change carpets, a fresh coat of paint for interior walls, perhaps some general maintenance from an experienced handyman – all of these can dramatically improve how prospective buyers view your home.
Commissions for Real Estate Agents: 5-6%
Selling your home in Chicago, IL can come with hefty costs – typical commissions for real estate agents are between 5-6%. But a good agent will provide high-quality service, expertise, and the best marketing plan to get you top dollar from the sale of your property.
There are other options you can explore as an alternative, such as low-commission or flat-fee MLS listings instead of going through an agency broker.
Negotiables and Buyer Incentives: ~1-3%
A savvy negotiator can use their skills to secure terms in their favor, and it’s wise to budget money for negotiation separate from the purchase price. On top of that, you could be asked by buyers without enough funds at closing to pay some of these costs—this is called seller concessions and often allowed up to a certain limit (around 1-3% in Chicago).
And after agreeing on an amount with a potential buyer, don’t forget about home inspection repairs or credits they may request back before finalizing the deal!
Closing Costs: 1-3%
While the total profit from the sale may look appealing, up to 3% of that can go back out for various fees and expenses incurred during a closing. Common charges local sellers encounter
includes attorney’s fees, title insurance premiums, and other county taxes specific to their area; All of which are taken straight off the top!
Chicago, IL Transfer Tax
If a home is sold, the seller and buyer must split the cost of the transfer tax to their state – that’s $5.25 dollars per every five hundred dollars in selling price.
Paying Your Attorney – In Chicago, IL, you have a lawyer-assisted closing. However, their services do not come cheap – legal fees for drawing up documents and representing your interests may cost anywhere five hundred to one thousand dollars or more.
Home Inspection Repairs
After the potential buyer’s home inspection, they may request repairs or credits for any issues found. The cost of these repairs usually varies depending on the nature and extent of the needed repairs.
Title Search
With this fee, you can unlock the property’s past to ensure a clear title and no hidden liens or encumbrances.
Courier Fees
If you have a mortgage, there’s an extra fee to pay in order to officially close the loan and send off all necessary funds.
Estoppel Fee
Homeowners in condos or associations can now easily access the payoff of their dues with this simple, low-cost solution.
Property Taxes
When buying a home, property taxes are one year behind or in arrears. The amount of these taxes is tailored to the day the deal is finalized.
Title Insurance
Purchasing a home often involves obtaining both a lenders and an owner’s title policy. However, the cost of these policies is sometimes negotiable.
Moving Costs: 1-3%
When it comes to moving, don’t forget about the costs! Whether you decide to take on the task yourself and need supplies such as boxes or a truck or prefer a more hands-off approach with movers, there are expenses associated with moving that can add up quickly. Thinking ahead will ensure your transition is smooth and stress-free.
Can I Reduce My Home Selling Costs?
Selling your home can be expensive, but you do have options.
If doing it yourself is on your radar and feasible, selling FSBO in Chicago with a flat fee MLS listing could save you significant cash with the some of the same services offered by an agent. On the other hand, if that’s not suitable for you, researching and fining local real estate brokers who offer discounted fees may also help cut own commission costs from what typically ranges around 5-6%. With these solutions at your fingertips, there are ways to successfully sell without breaking the bank!
With Onyx Homes, LLC’s cash home buyer service, you can quickly sell your Chicago home for a fair price! We understand the unique needs of homeowners going through a divorce, facing foreclosure, or needing fast sale – that’s why we provide fair no obligation offers within 24 hours regardless of condition. Financial freedom awaits, visit our website today to learn more about how easy it is to sell your house with Onyx Homes!
