4 expenses when selling your home
PUBLISHED 10 SEP 2017
Selling your house doesn't just involve a property agent, a moving company and maybe a storage facility thrown into the mix.
These expenses include:
your home will probably need some work done in order for it to be presented in the most attractive way. This may include professionally cleaning the windows and carpets, repainting the interior and/or exterior of the home, repairing roof tiles, gutters, leaking taps and light fixtures, and may cost you more than you have bargained for.
The best advice would be to fix and update these things as they break or become unattractive, so you don’t need to incur massive expenses all at once when it comes to selling.
2. Getting a professional inspection done
Your home will probably need some work done in order for it to be presented in the most attractive way. This may include professionally cleaning the windows and carpets, repainting the interior and/or exterior of the home (only in rare occasions), repairing roof tiles, gutters, leaking taps and light fixtures, and may cost you more than you have bargained for.
Your Estate agent can assist you in this regard rather than paying astronomical amounts for a more professional inspection. If the buyer insists on a professional inspection after the offer to purchase has been accepted, it can be arranged and the buyer be responsible for the financial implication thereof.
3. Bond cancellation fees
When a seller has a bond registered over a property it must be cancelled on transfer (usually with 90 days’ notice) and the seller is responsible for payment of the conveyancer's fees for cancellation. This cancellation has to comply with certain legislation as well as the relevant financial institutions' procedures and costs.
There are several costs involved that include the month-end balance before cancellation. Any homeowner's insurance premiums that would have been debited to the bond account in the next three months, any life assurance premiums that would have been debited to the bond account in the next three months, and legal costs, interest, retention amounts and early termination interest if applicable.
Penalty interest can be avoided by giving the bank proper notice of the intention to cancel the bond, so speak to your estate agent to get more information.
4. Compliance certificates
Sellers also need to obtain compulsory Electrical, Electrical Fencing and Gas certificates before selling, and sometimes also need to present an Entomologist certificate.
Many banks and Insurance Companies are now also asking for copies of the registered plans of the property as well as the occupation certificate before granting a bond or providing insurance. With this in mind it is recommended that sellers appoint a draftsman to redo and submit plans for approval before listing (this includes things like a pool, lapa, carport, additional rooms or anything that is not on the plan).