Should You Offer to Pay Homebuyers’ Closing Fees?
Here’s the good news: Homes are selling faster today, with the National Association of Realtors® reporting that the sale of existing homes in July rose more than 17% from 2012. That, in sales results terminology, qualifies as a ‘spike!’
Better yet, homes are selling more quickly – TOM (Time on Market) shrank from 69 days to 42. And prices were rising: the national median sales price in July stood at $213,500, up 13.7% from 2012.
But this is not to say that it’s easy to sell a home today. Homebuyers in Florida are plenty savvy. They won’t overpay for a home, and if they don’t like your asking price or terms, they are ready to move on to the next one. But you might be able to increase your odds of attracting solid offers by front-loading a concession that’s important to today’s Florida homebuyers: paying their closing costs.
What homebuyers seem to be more keenly aware of is the incremental cost of closing a mortgage loan. According to a trustworthy survey of closing costs (from Bankrate.com), today the average buyer pays close to $2,400 in closing fees on a $200,000 loan.
As a home seller, you have a natural resistance to cutting down your profit margin when closing a real estate deal. Yet this inventive kind of offer can bring more Florida homebuyers to your property. It could allow you to sell your home faster — possibly for a better price. The reason? Many homebuyers can afford to pay the slightly higher monthly mortgage payments that come with paying full listing price for a house. What might break the camel’s back is a pile of upfront cash. By offering to pay closing costs, you may supply the extra incentive that can, in the long run, work to your financial advantage.
Especially if you need a quick sale because of a professional move or a financial incentive, the closing cost concession could dramatically reduce the number of days your home spends on market. If you’re thinking of selling your home in Port St. Lucie, Palm City, Jensen Beach, Hutchinson Island, Jacksonville, Ponte Vedra, Palm Coast this Fall, it’s something to consider.
Having the right real estate agent means having an agent who is committed to helping you buy your new home with the highest level of expertise in your local market. This commitment level has helped Bold Real Estate Group build a remarkable track record of delivering results.
Are you tired of scouring the newspaper and MLS listing sites looking for homes in Florida? Tired of playing telephone tag with Realtors only to hear the home’s already sold? Sit back, relax and let Bold Real Estate Group and our team of professional Realtors do the work for you! Just visit our website and check off the properties you’re looking for www.BoldRealEstateGroup.com, is FREE and there’s no obligation! or send us an email firstname.lastname@example.org
About the Author: Millie Gil has been a successful Licensed Real Estate agent for over 25 years in Florida. Millie is Vice President of Bold Real Estate Group, a boutique agency committed to concierge personalized service for discerning buyers, sellers and renters of residential and commercial properties. Bold Real Estate Group is a licensed Real Estate Broker company in Florida, proud member of The National Association of REALTORS® (NAR), which represents over 1,200,000 REALTORS® in the United States, member of the Who’s Who in International Real Estate and The International Consortium of Real Estate Association, which represents over 2,300 Real Estate Professionals throughout the World. Bold Real Estate Group is your resource center in Florida for buying, selling and renting services of residential and commercial properties.
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