There are many different costs of selling a home. The legal fees to sell a house include the following:
An agent commission or seller’s agent fee is the fee paid to a real estate agent for facilitating the sale of your property. The value will be determined following an appraisal and before entering into a sales agreement, and it will be reflected as a percentage. The agent commission is paid out during settlement.
Making a sound investment in marketing when selling your property is one of the most important things you can do. How, where, and when you list your house for sale can have a huge impact on the interest generated in your home. Investing in a solid marketing strategy and advertising costs when selling a house is one of the most common – and crucial – steps you will take along your real estate journey.
Property search costs
It is mandatory to conduct a property search as part of the sales paperwork, and the information gathered from various regulatory bodies confirms that the property is what was advertised, and any encumbrances are disclosed as required. A property search might include checks against the property title and land tax authority.
Conveyancer or solicitor’s fees
To ensure all paperwork and processes are properly prepared and completed, you will need to engage a conveyancer or pay solicitor fees for selling a house. Many agencies partner with legal firms to make this process easier for vendors.
Auction fees are the charges set by an auctioneer to prepare and conduct the auction when you sell your property via this method of sale.
Discharge of mortgage
The majority of properties are purchased with a home loan. For the settlement to occur, the mortgage attached to your home must be discharged – i.e., paid off – so that the property is declared free of encumbrances and the property title is transferred to the new owners. In most cases, banks charge a fee for discharging a mortgage when you sell your property. If you cannot locate it in your home loan paperwork, speak with your mortgage broker or call your bank for advice.
Sales rates and taxes
You may have to pay taxes upon settlement of your property sale depending on your ownership type, e.g., owner-occupier or if you rent the property.