Thinking about selling your house in Stockton? Before you rush to list with a real estate agent, it’s crucial to understand the real costs involved with selling a house.
The average California home seller spends a staggering $75,628 (or 9.72% of their sale price) on selling expenses. For some homeowners in California it’s even higher, with the cost to sell a house at nearly 11% of the home’s final sale price!
However, there’s a simpler, more cost-effective solution that many homeowners overlook: selling to a cash buyer.
The Hidden Costs of Traditional Home Sales
When selling through traditional methods like realtors, homeowners face numerous expenses that can quickly eat into their profits. Let’s break down these costs:
1. Real Estate Agent Commissions
The biggest expense in a traditional sale is the real estate commission, typically around 6% of your final sale price. On a $400,000 home, that’s $24,000 gone from your profits.
However, you absolutely can sell your house without a realtor. California law doesn’t require you to work with a real estate agent to sell your property.
2. Pre-Listing Preparation Costs
Before listing, most sellers spend an average of $9,898 getting their home market-ready, including:
- Professional cleaning ($200-500)
- Staging ($500-1,500)
- Professional photography ($200-400)
- Basic repairs and maintenance ($1,000+)
- Fresh paint and curb appeal improvements ($2,000+)
Most houses will require at least a few repairs before going on the MLS. Once a buyer has been found, there will likely be negotiations as to who makes the repairs found during the inspection. When selling a home the traditional way, you can negotiate to either make some of these repairs or discount the sale price of the home.
However, when you sell your to an experienced Stockton cash home buyer like Westbrook REI, you won’t have to worry about any of that. Even if your home needs major repairs or updates, we will buy your house AS-IS. You also won’t need to deal with inspections or appraisal fees.
3. Other Costs When Selling Your California Home
In addition to real estate agent commissions and the cost of preparing your home for sale, you’ll also have to consider closing costs, title fees, taxes and more.
Working with a real estate agent also brings a plethora of fees and charges you may not be prepared for. (These charges are IN ADDITION to the commission.) Agents will pass on a number of fees to you for marketing, listing, and administrative tasks such as clerical work, notary charges and printing. You will face plenty of small charges that add up fast.
What Closing Costs Do Sellers Pay in CA?
Sellers in California typically pay several closing costs, including:
- Title insurance fees
- Escrow fees
- County transfer taxes
- Prorated property taxes
- Outstanding HOA dues
- Recording fees
In a typical home sale, the seller will need to pay about 2% of the final sale price in closing costs.
This can be negotiated up or down between the buyer and seller, but 2-3% of your sale price is typically what you can expect to pay.
Who Pays Title Fees at Closing?
In California, sellers traditionally pay for the owner’s title insurance policy, while buyers pay for their lender’s title insurance. However, like all closing costs, these fees can be negotiated between buyers and sellers.
How Much Taxes Do You Pay on Selling a House in California?
When selling your house in California, you may face:
- Federal capital gains tax (15-20% if profit exceeds exemption limits)
- State income tax on profits (up to 13.3% in California)
- Property tax prorations
- Transfer taxes (varies by county)
Note: You may qualify for the capital gains tax exemption ($250,000 for single filers, $500,000 for married couples) if you’ve lived in the home as your primary residence for at least two of the last five years.
Ongoing Costs While Your Home Is Listed
Don’t forget these continuing expenses while your home sits on the market:
- Mortgage payments
- Property taxes
- Homeowners insurance
- Utilities
- Maintenance and landscaping
- Storage fees for decluttered items
With the average home taking 3-6 months to sell traditionally, these costs can add up to thousands of dollars.
The Cash Buyer Alternative: A Cost-Effective Solution
Selling to a cash buyer in Stockton can eliminate most of these expenses. Here’s what you save:
- No real estate commissions
- No repair or renovation costs
- No staging or photography fees
- No cleaning expenses
- No holding costs while waiting for a buyer
- Reduced closing costs
- No appraisal fees
- No inspection fees
Why Choose a Cash Buyer?
- Speed: Close in as little as 7 days instead of 3-6 months
- Simplicity: No need for repairs, staging, or multiple showings
- Certainty: No financing fall-through risks
- Cost Savings: Avoid most traditional selling expenses
- Convenience: Sell your house “as-is”
My name is Peter Westbrook and I am a local real estate investor born and raised right here in the Central Valley. I am the owner of We Buy Houses Stockton and Westbrook Real Estate Investments in Stockton, California.
We’ll give you a cash offer for your home – without having to fix it up, show it to a parade of would-be buyers, wait for buyer financing, or evict the tenants. And, it all happens SO FAST.
Calculate Your Savings
Traditional Sale on $400,000 Home:
- Agent Commission (6%): $24,000
- Preparation Costs: $9,898
- Closing Costs (2.5%): $10,000
- Holding Costs (3 months): $6,000+ Total Costs: $49,898+
Cash Buyer Sale:
- No agent commission
- No preparation costs
- Minimal closing costs
- No holding costs Total Savings: Up to $45,000+
Through our local cash buying program, we offer Stockton homeowners a simpler alternative to traditional home selling.
Ready to Save Money on Your Home Sale?
Don’t let the excessive costs of traditional home selling eat away at your profits. If you’re looking to sell your Stockton home quickly and without the hassle and expense of a traditional sale, we can help. As experienced cash buyers in Stockton, we offer:
- Fair, no-obligation cash offers
- Quick closings on your timeline
- No fees or commissions
- Purchase in as-is condition
- Simple, straightforward process
Contact us today at (209) 481-7780 to learn how much you could save by selling your Stockton home to a cash buyer. Get your free, no-obligation cash offer and discover why more homeowners are choosing this cost-effective alternative to traditional home selling.
There is an alternative way to sell your Stockton home for a great price! Send us a message and we will be in touch! Or give our office a call today! (209) 481-7780