What Are The Different Fees Paid To Agents Versus Paid To Investors?

Are you considering selling your house and hoping to make some money from the sale? You might be surprised to find out that selling your house could actually mean paying money, depending on the fees paid to agents versus paid to investors. In this blog post, we’ll explain the different fees you may encounter when working with an agent versus an investor, so you can make an informed decision.

It’s true… selling your house can sometimes mean that you have to pay. (This isn’t always the case but it often is.) We want to you to know about the different fees you have to pay because this information may help you decide whether to work with an agent or to sell your house directly to an investor.

What Are The Agent Fees

A real estate agent is not the end buyer. If you want to work directly with an end buyer just fill out our form and let’s see if we are a good fit. Agents will try to find a buyer to buy your house. In order to do this, they will list your house in a listing service and use various marketing efforts to try and find a buyer.

For an agents efforts, you will need to pay fees for their services, which may include a commission fee (often around 6% of the sale price, or about $6,000 for a $100,000 home). This comes out of the final sale price so it doesn’t hit your wallet right away.

What Are The Investor Fees

This is the part that surprises most house-sellers: for most investors, there are rarely any fees to cover. Investors will usually take care of all fees associated with selling. Plus there’s no commission to pay because they’re not agents so they’re not listing your house. You might be responsible for closing costs but this depends on the negotiation so make sure you ask the investor who pays for those costs.

The One “Fee” You May Not Be Thinking Of

Besides the closing costs, the one “fee” or cost most people never consider when comparing fees paid to agents versus paid to investors is the time it takes with working with an agent. There is data for each zip code showing the average days a house stays on market which equals to more money out of your pocket, paying bills and taxes while waiting for the agent to find a buyer. Even longer and more out of pocket costs if the house needs fixing up and staging to make the house more attractive. When you sell your house to an investor, we often buy quickly, so you can save on these additional costs.

In Summary

The costs or fees to selling a house can vary depending on various factors, such as the location of the house, the real estate market, and the method of sale. Some of the common costs and fees associated with selling a house are:

Agent commission fee: If you work with a real estate agent to sell your home, they will typically charge a commission fee that is a percentage of the sale price of the home, usually around 6% of the sale price.
Closing costs: These are the fees associated with the final steps of the home sale, such as title transfer and paying off any outstanding mortgages or liens. These costs typically range from 2% to 5% of the sale price.
Home repairs and improvements: Before selling a house, you may need to make repairs or improvements to make it more attractive to potential buyers. These costs can vary widely, depending on the condition of the house.
Staging: You may also need to spend money on staging the home to make it more appealing to buyers. This can include renting furniture, professional photography, virtual tours, etc.

If you sell your house to an investor or a real estate investment company, the costs and fees may be different. In some cases, investors will take care of many of the fees and costs associated with selling a house, so it’s important to understand what fees are paid to agents versus paid to investors.

So what’s right for you? It depends on how much you’re willing to pay and how quickly you need to sell.

If you want to go over this in more detail or confirm that we won’t charge you any fees if you sell your house to us then please get in touch and we’ll be happy to walk you through it.

We’re happy to give you more information about our buying process and to share with you exactly how it all works. Click here and enter your information or pick up the phone and call us at (214) 225 - 9225.

What Are The Agent Fees

What Are The Investor Fees

The One “Fee” You May Not Be Thinking Of

In Summary

We’re happy to give you more information about our buying process and to share with you exactly how it all works. Click here and enter your information or pick up the phone and call us at (214) 225 - 9225.

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