San Francisco | How Much Will You Make on The Sale of Your Property? | Mortgage residential and commercial home loans SF

[sg_popup id=”8″ event=”onload”][/sg_popup]

Most people look to comps in their area to come up with the listing price for their property. This is logical, but you also have to focus on the bottom line.

How Much Will You Make on The Sale of Your Property?

It happens more often than you might imagine. A homeowner decides to sell and goes about figuring the best price to sell. They may set a price off of the cuff or do research to ascertain the best price that will result in a sale within a specific time period. What many do not take into account, however, is the ultimate amount the will get from the property. This can lead to brutal surprises when the ultimate amount is much less than expected – a concept known as seller’s remorse.

In reality, the decision to sell your property should only be made after determining what you can objectively get out of it. Most people, however, tend to eyeball this amount. If you have a lot of equity in the property, it really is not an issue. If you don’t, you better start calculating or you could be in for a bad shock.

The first place to start is the estimated price you will sell for minus the outstanding balance on your mortgage. This gives you a rough estimate of your equity, but should not be relied upon as the final cash out figure. Instead, you have to sit down and start calculating the other costs such as:

1. Mortgage pre-payment penalties,

2. Property taxes for the portion of the relevant year in which you are selling.

3. Any costs associated with repairs to the property to get it in shape to sell.

4. Attorney’s fees if a lawyer is required to be part of the process in your state.

5. Incidental costs associated with the sale as agreed to in the purchase agreement with the buyer. Items can include title insurance premiums, recording fees, inspection fees, warranty insurance, escrow fees and so on.

One area people completely forget to factor in is, ironically, the biggest expense. If you use a real estate agent, you are going to pay a significant commission. A typical 6 percent commission on the sale of a $300,000 home is $18,000. More and more sellers are bypassing this by selling their properties without agents, which makes sense given the money involved. Regardless, you need to ascertain how you will sell the home and the relevant cost of doing so as part of your overall calculation.

Making the decision to sell is an emotional one. It should, however, also include a hard, cold look at the financials involved and whether doing so makes sense.

Powered by Agent San Francisco – SF San Francisco. All rights reserved.© 2012 Copyright by Agent San Francisco™. All rights reserved. Agent San Francisco is an independent real estate brokerage.
“Agent San Francisco real estate brokerage” is an independent real estate brokerage firm with CaBRE – California Bureau of Real Estate Lic #01173770 and Mortgage Loan Originator MLO – NMLS ID: #1203203 & NMLS ID: #1425778 – Agent San Francisco is equal opportunity housing mortgage broker and
real estate agent that abides by all California Bureau of Real Estate rules and regulations. Agent San Francisco Mortgage Loan originators MLO’s and advertising are in compliance with FTC, U.S. Department of Housing & Urban Development (HUD), Regulation Z [12 CFR §1026.24], Reg CaBRE, Mortgage Acts and Practices — Advertising rule, known as Regulation N – [12 Code of Federal Regulation §§1014 et seq.] – The Federal Trade Commission (FTC) and Consumer Financial Protection Bureau (CFPB).
Licensed and endorsed under California Bureau of Real Estate. (CaBRE)
CaBRE Broker #01173770
Mortgage Loan Originator (MLO) NMLS ID #1425778
Mortgage Loan Originator NMLS ID #1203203
Searches related to residential home and commercial real estate lenders San Francisco
residential home and commercial real estate loans San Francisco
San Francisco residential home refinance and commercial real estate lenders list
largest residential home refinance and commercial real estate lenders San Francisco
residential home refinance and commercial real estate funding San Francisco
residential home refinance and commercial real estate financing San Francisco
residential home refinance and commercial mortgage lenders San Francisco
residential home refinance and business real estate lenders San Francisco
residential home refinance and private commercial real estate lenders San Francisco
Home purchase loans and refinancing