Hidden Costs of Traditional Home Sales

When selling your home through traditional real estate methods, the final amount you receive can be significantly less than your home's sale price due to various hidden costs and fees that many homeowners don't anticipate.

Real Estate Agent Commissions

The largest expense in traditional home sales is typically the real estate agent commission, which averages 5-6% of the sale price. On a $200,000 home, this means $10,000-$12,000 in commissions alone. This fee is split between the listing agent and buyer's agent, but it all comes out of your proceeds.

Closing Costs and Fees

Sellers are responsible for numerous closing costs that can add up quickly:

• Title insurance and title search fees ($500-$1,500)
• Attorney fees ($500-$1,000)
• Transfer taxes and recording fees ($200-$800)
• Home warranty for buyer ($300-$600)
• Prorated property taxes and HOA fees

Repairs and Improvements

Most traditional sales require the home to be in good condition, which often means:

• Pre-listing repairs and improvements ($2,000-$10,000+)
• Professional cleaning and staging ($500-$2,000)
• Landscaping and curb appeal improvements ($500-$3,000)
• Post-inspection repairs negotiated with buyers ($1,000-$5,000)

Carrying Costs During Sale

The average time to sell a home in Michigan is 30-60 days, during which you continue paying:

• Mortgage payments
• Property taxes
• Insurance premiums
• Utilities and maintenance
• HOA fees (if applicable)

The Real Cost Breakdown

The Cash Sale Alternative

When you sell to a cash buyer like us, you eliminate virtually all of these costs:

• No real estate agent commissions
• No closing costs (we pay them)
• No repairs or improvements needed
• No carrying costs (close in 7-14 days)
• No staging or showing expenses

Making the Right Choice

While our cash offer might be lower than the potential market price, when you factor in all the hidden costs, time, and stress of traditional sales, many homeowners find they actually net more money with a cash sale. Plus, you get the certainty of a guaranteed closing and can move on with your life immediately.

Every situation is different, and we encourage you to run the numbers for your specific circumstances. We're always happy to provide a free, no-obligation cash offer so you can compare your options.