Getting Your Real Estate Finances in Order

Before you even think of putting your London, Ontario home up for sale you’ll need to get your finances fully in order.  Even in the best market with a house in top condition, you'll still need a full financial assessment if you want the whole selling process to go smoothly. Remember, if the numbers don’t add up then now is not the time to sell. Also, remember that a great real estate agent will be able to help you out with this process.

What Additional Expenses Will You Need to Pay?

When selling you'll have commissions to pay, loans and other related expenses that can make a dent in your profits.  If you still have a mortgage to pay off you’ll need to calculate your equity and if you’re buying a new home, you’ll need to consider moving costs and whether you have enough to make a down payment.  All this can add up drastically so do a proper evaluation of all related costs and whether the sale can cover them.

It’s worth taking this even a step further and evaluating all your finances and current credit status.  If you're hoping to sell within the year then now is the time to go over your finances entirely and check for any issues that may cause a problem further down the line.

Have You Considered The “For Sale By Owner” option?

When selling, you don’t necessarily need to hire a real estate Broker.  Nowadays “For Sale By Owner” (FSBO) has become very common and can eliminate a portion of commission you would otherwise have to pay a broker.  Consider though what you may be gaining and losing by selling yourself.  A licensed Broker will have the market knowledge and negotiation skills to sell a house fast and for a good price.  If time is a factor for your sale then you’re probably better off with a broker.  However, there are certain instances where it is not always possible to retain the services of a real estate Broker.  

Locate Any Construction Records

If you're expecting profits from the sale of an investment property, then you should talk to a tax consultant about any potential tax bills.  You can offset some of this cost through any construction projects you’ve had on the home over the years.  Regular maintenance is not covered under this so check your local laws and talk with a tax professional to be sure.

Do a Full Inspection of Your Home

Unexpected costs can always spring up when selling a home.  Insure yourself against the ones in your control by having a full inspection of your home for deficiencies and structural integrity.  If you wait until a Buyer comes along before this is done you could be in for a nasty surprise and a lost Buyer.  A full assessment of your home's condition will allow you to negotiate better and put you in a stronger position with both your agent and potential Buyers.

Final Thoughts

Lastly, draw up a financial plan and budget for selling your home.  Many agents will help you do this so take all the help you can get.  You can also use this as an opportunity to grasp the entire selling process and what lies ahead.

Give us a call and we will get you going in the proper direction right away.  Buying and selling real estate in London and the Middlesex area doesn't have to be stressful or difficult if you have the best Realtor in London.  We work very hard to gain that reputation, call today and let us show you why we are just that.

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