How Much Does It Cost To Sell A Home In Columbus?
How much does it cost to sell a home in Central Ohio? If you're thinking about selling a home, you are probably wondering how much the closing costs will be and what other fees you may have to pay.
In this post, we will break down the general costs when selling a home in Columbus so that you have an idea of what to expect. Keep in mind, the expenses listed here are estimates. I can't tell you exactly how much it will cost to sell your specific home in Central Ohio in a blog post. Your expenses will vary depending on your home, which companies you use, and how the purchase offer is negotiated.
In Columbus, as in most places, selling a home entails more than finding a buyer, getting paid, and handing over keys. The market in Central Ohio is competitive, and it takes the help of an expert in home selling and marketing to successfully sell a home. Use the list of costs below to navigate to a specific expense.
- How Much Are Agent Commissions?
- How Much Will it Cost to Stage my Home?
- How Much Are Home Inspections?
- How Much Are Appraisals?
- How Much Will Closing Costs Be?
- What Other Costs Should I Consider?
How Much Does It Cost To Hire A Real Estate Agent in Columbus?
In Columbus, Ohio, the standard real estate agent commission is 6%. This number is negotiable and may range from 1% for a discount listing service to 10% for a specialty agent. The commission covers a lot more than just paying the agent that lists your home. The commission may cover consultation with a professional home stager, professional photography of your home, marketing your home, listing your home on the MLS, promoting your home on Social Media, a professional For Sale sign, lockbox, and the tools the agent needs to manage your listing such as a scheduling service for showings. The 6% commission also includes the commission paid to the buyer's agent. Typically, the home seller pays the entire commission from the sale of the home. The cost of commission will be paid when the home closes, so this is not an upfront fee to be paid to the listing agent. The agent gets paid when the home is sold.
Even though the 6% commission is negotiable, keep in mind that you often get what you pay for in this case. A cut-rate listing service is going to do the bare minimum, which may only include listing the home on the MLS and putting a basic sign in the yard. If you're interested in the process and want to do most of the work yourself, this might be the way to go. However, most homeowners are too busy and do not have the necessary tools or experience to successfully sell their home.
Time is money when selling a home in Columbus, because homes that sit on the market make buyers ask, "Why?" and wonder what is wrong with the home. A home that doesn't sell will also become a target for buyers hoping to pay less than market value. If you hire an agent or listing service based solely on commission, you may find out too late that they aren't doing all they can to sell your home, which will cost more money in the end.
What goes into a top listing agent's commission?
- Professional Staging Consultation
- Professional Photography
- Professional Signage
- Professional Marketing Both Online and Offline
- MLS Fees
- Scheduling Service
- Business and Marketing Tools
- Office Space
- And A LOT More
How Much Does It Cost to Stage a Home in Columbus?
Most home sellers want to sell as quickly as possible for as much money as possible. One of the biggest factors for how well your home performs on the market is its first impression to potential buyers. Modern home buyers generally prefer move-in ready homes, and they find it difficult to look past even seemingly minor issues.
Because of this, sellers may want to hire professionals to declutter, deep-clean, repair, and stage their homes. The cost of this will depend on the condition of your home and whether you hire pros or go the DIY route. If you choose professional home staging, the average cost for a home stager in Columbus is between $500 and $2,000+. Depending on the Realtor you choose, a home staging consultation may be included in their listing service. We provide our home sellers with a one-hour consultation with a professional home stager. This helps us better prepare the home for market.
Pro Tip: When you make the decision to sell your home, start "pre-packing" and storing items you won't need in the near term. Things like personal items and valuables that you don't use on a day-to-day basis should be pre-packed and stored for security reasons. Seasonal items can be pre-packed and put in a storage unit to help with staging. Remember that even closets and storage areas will be viewed and considered by serious home buyers, so you don't want your closets and attic bursting at the seams. You'll have to pack your stuff up eventually, go ahead and start sooner rather than later.
How Much Are Home Inspections in Columbus, OH?
It may be prudent for you as the home seller to have a pre-listing home inspection done. This will help you get ahead of any costly surprises that could be deal breakers for buyers and help you have an idea of what needs to be fixed.
The cost of a General Home Inspection in Columbus ranges from $250 to $500. If you decide to have a pre-listing inspection, you pay the home inspector up front. Having a pre-listing inspection done does not guarantee that the buyer's inspector won't find different issues. In fact, since their job is to find issues for the buyer, they likely will still be able to create a list of things to present to the buyers. However, a pre-listing inspection can help you find and fix any big issue(s) that could blow up a deal. It also gives you a punch list to help you prepare the home for sale.
During the Due Diligence period, the home buyer will most likely have a General Home Inspection and a Pest Inspection done. Other inspections the buyer may want include HVAC, mold, radon, septic, or well testing if you have well water. These inspections are usually paid for by the home buyer, but the seller will pay for repairs that may result from the buyer's home inspections. This is when it is important to have a strong negotiator in your corner as the home seller. Otherwise, you could end up paying for thousands of dollars in repairs.
How Much Are Appraisal Fees in Columbus Ohio?
The appraisal is paid for by the home buyer, but I included it here for any home sellers who may be under the impression that they must pay for the appraisal. An appraisal will be required by the home buyer's lender. The appraiser determines how much it is worth in current market conditions. The lender wants to ensure that the home is worth at least the amount of the home loan. To give you an idea of the cost, the average appraisal fee in Columbus Ohio is $450.
How Much Are Closing Costs in Columbus, Ohio?
The home sale happens at closing. The actual amount paid for closing costs varies, and how much is paid for by the buyer or seller is negotiable. Because of this, you as the seller must have an experienced listing agent negotiating on your behalf. Here are some of the things that may be included in Closing Costs:
- Recording Fee: This is the cost of recording a new deed with the county. This cost is typically split between the buyer and seller. In Columbus Ohio the recording fee will be about $75.
- Escrow Fee: This fee pays for escrow company services. This can vary depending on the company, but for this example it is about $300. Tax Service: This is a one-time fee charged by the lender for setting up tax payments. This may be about $100.
- Title Insurance Fee: This fee ensures the seller is giving the buyer a clear title to the property. The exact amount paid depends on the home price, but to give you an idea of the cost it will be around $1,300-$2,000 for a home in the $200k-$300k price range.
- Ohio Transfer Tax / Conveyance Fees: This is state and county-specific and some variables will dictate exactly how much you will have to pay. To give you an idea of the cost, if you are selling a $250k home, your Conveyance Fees may be around $500. The Franklin County Auditor has a calculator tool on their website that can help you determine this fee.
- Re-conveyance Fee: This is a fee of $156 paid by the seller to clear the title of the lien and reestablish the deed of trust to the home seller.
- Home Warranty Plan: This is a negotiable item and does not have to be offered by the seller. A seller may offer a home warranty if they are selling an older home or simply to give buyers more peace of mind. For instance, if the appliances are 10 years old and the buyer is nervous about the reliability of older appliances, the home seller can offer to pay for a home warranty for the buyer rather than replace the appliances. The cost of a home warranty plan is only about $625, so it can be a lot cheaper to offer a warranty.
- Form 1099: This is required by the IRS to report the property sale and costs $50.
- Courier Fees: There's a lot of paperwork involved in the home closing process in Columbus. There may be a courier fee between $50 and $250. This service will get the required documents where they need to go (county, lender, title company, escrow firm).
Other Costs When Selling a Home
Other costs a home seller needs to consider are not part of Closing Costs but may be part of the expense of selling a home (especially if you want to sell quickly). These include:
- Pre-listing inspection to help you better prepare your home for market. This can help eliminate costly surprises later.
- Repairs you do to the home before you list it or that you may need to have completed after the home inspection.
- Storing items in a storage unit after you pre-pack and stage your home.
- Hiring a cleaning service to keep the home clean and ready for showings.
Ask Rita - Your Columbus Real Estate Expert
There may be other fees negotiated to be paid for by the seller. A home seller may agree to pay any or all of the closing costs. For this reason, a home seller needs to hire a real estate agent who knows the closing process and can negotiate the best outcome for the seller.
You need a local professional who knows how to sell a home in Central Ohio and what the local rules, regulations, and fees are. With my help, you are more likely to sell your Columbus home quickly for as much money as possible. Need more details about the cost of selling your home in Central Ohio? Contact me, Realtor Rita Boswell at 614-830-9767 and ask away! I love helping homeowners navigate a successful home sale.
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We care about our clients and our community. We want you to have a top-notch experience no matter how you choose to sell your home.