Costs of selling your home

When selling a home in Massachusetts it is always good to know exactly what you are going to come away with at closing. Most home owners know that the sales price of their home less the mortgage balance will give them an idea of what they can expect.  However there are a number of other costs in selling a home that could add up.

Many people are unaware of the tax on selling a home in Massachusetts, called the Massachusetts tax stamps, or property transfer tax.  This tax is put on the sale of any home sold in the Commonwealth of Massachusetts. The current tax rate is $4.56 dollars per thousand. For example, if you sold a home for $500,000 your tax would be $4.56 x 500 for a total cost of $2,280.

Other costs include hiring an attorney to represent you in negotiations on a purchase and sale agreement or attending the closing. Legal representation can vary anywhere from $400-$800 depending on the scope of work.

If you have your own septic system, another expense would be a Title V (septic) inspection. The typical cost for a Title V inspection runs around $800, depending on the level of difficulty to access the tank. This cost also includes the pumping fee. A septic inspection is good for two years.

When a home is sold in Massachusetts it is required that the home is inspected by the local fire department for properly working smoke and carbon monoxide detectors, which usually run around $50-$100 per unit. The certificate of compliance will need to be brought to the closing. The lender’s attorney will ask for this document and you will not be able to close on your property without it.

There will also be some minor miscellaneous costs which include recording fees at the registry, mailings, mortgage discharge fees, etc.  These costs will be added to your HUD settlement statement at the closing and will typically amount to a few hundred dollars.

Here's a great video on home staging:

http://www.youtube.com/watch?v=ec7QCZAxidY&feature=player_profilepage