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Wondering what costs you'll face as a home seller in CT? You won't walk away from closing with a check for the full purchase price! Read this quick guide to help you understand all your closing costs, and most importantly what you get to keep!
Seller's closing costs in a Connecticut home sale:There are several costs involved in selling your CT home, which will all come out of the proceeds of the sale. I usually tell my clients they can expect to pay about 7-8% of the purchase price to costs of the sale: CONNECTICUT SELLER SIDE CLOSING COSTS:
While real estate commissions are always negotiable, for these purposes I will use an example of 6% commissions. That includes compensation to the listing agent, and the listing agent pays a portion of this to the cooperating broker ( the buyers agent ) . Conveyance taxes: In any real estate sale in CT (excluding some short sales and foreclosure sales) the state charges a fee for conveying property. This fee is .75% (3/4 of 1%) of any sale up to $800,000 after which the fee jumps to 1.25%. The town you live in will also charge their own conveyance tax of .25% (for most towns – a few charge more – 1.25%). Conveyance taxes usually total is 1-1.25%. Legal fees: Your closing attorney will also charge a fee. This is usually $500-$1,000 or more depending on the complexity of the transaction. OTHER POSSIBLE SELLER COSTS:Seller concessions: Often, buyers will ask for sellers to pay for some of their closing costs or there will be repair credits issued. These can vary widely. Prorations: Sellers will usually either be credited for real estate taxes paid, or at times they may be be debited for real estate taxes not yet paid but due at the time of closing. Usually some adjustments will be made for heating fuels left behind or prepaid expenses such as refuse disposal services. Wire, courier, etc: There may also some other smaller administrative fees involved which can vary slightly. An example: John and Mary sell their Southington, CT home for $200,000. John and Mary paid off the home years ago so there is no mortgage to pay off. There are no seller concessions and the sale closes on June 30, so no real estate taxes need to be accounted for. Purchase Price: $200,000
Net proceeds: $185,000 John and Mary walk away from closing with a check for $185,000. Last Updated on September 16, 2020 by About the author Minna ReidMinna Reid is The Broker - Owner of Reid Real Estate Group. Reid Real Estate Group is a full-service Connecticut residential real estate brokerage, specializing in helping homeowners with legal and financial challenges including short sales, probate sales and tax lien complications.
Should I use a realtor? | What does a realtor do in Connecticut? | Cost of selling without a realtor | Connecticut real estate paperwork | How to sell without a realtor | Alternatives to selling without a realtor | FAQs Selling your home without a realtor means you won’t have to pay a listing commission, which in Connecticut averages 2.6% of the sale price. Considering a typical Connecticut house is worth about $348,000, that’s a savings of $9,026. However, trying to sell a home For Sale by Owner (FSBO) can be tough. It will cost you a lot of time and energy. In the end, selling a house without a real estate agent isn’t worth it for most homeowners in Connecticut. Especially considering there are low commission real estate companies that offer professional assistance for a lower cost. If you’re considering FSBO in Connecticut, read on to find out everything you need to know to do it successfully. ✍️ Key Takeaways of FSBO Sales
Should I sell my house without a realtor?Not sure if FSBO is right for you? Use the checklists below to find out if selling your Connecticut home without a realtor is the best option for your situation. ✅ Selling without an agent might be right for you if…You want to save on commission.When you sell without a realtor, you won’t pay a listing agent commission. In Connecticut, that puts 2.6% of your final sale price back in your pocket. However, you will still need to offer a competitive buyer’s agent commission (2.8% is typical in Connecticut). » LEARN: How realtor commissions work in Connecticut You already have a buyer.If you’ve already lined up a deal with a friend or family member, there’s no need to pay an agent to list your home on the MLS, host open houses, or negotiate on your behalf. You have lots of time to spare.Selling a house is a lot of work! You’ll need time to take on all the tasks a realtor normally handles. You’re in a hot seller’s market.If you’re in a high-demand area with low inventory, you could find a buyer relatively easily with just a flat fee MLS package or a “For Sale” in your yard. Here’s how fast and for how much homes in Connecticut are currently selling for so you see how your local market compares.
🚫 Selling without a realtor might not be right for you if…You’re short on time.If you’re on a tight deadline, hiring an agent might be your best option. You’ll have to squeeze home selling tasks into your nights and weekends — or make sacrifices elsewhere in your schedule. You’ve never sold a home in Connecticut.Without an agent, you won’t have any professional guidance about increasing your property’s curb appeal, pricing your home, or choosing the best offer. We can’t say this enough: If you’ve never been through a Connecticut home sale or are facing a complicated transaction, do not try it without a real estate agent. Making one mistake could cost you tens of thousands of dollars or create some serious legal headaches for you. You want to sell for more money.There are conflicting studies about whether FSBO properties sell for less compared to those sold by agents. On the one hand, FSBO sellers are more likely to sell to friends or family and offer them a good deal on the home. This lowers the average price of homes sold without a realtor. However, if a FSBO seller is inexperienced, they can lose money by pricing too low or scare away buyers by pricing too high. If selling your home without a realtor sounds too risky or like too much work, you have other ways to save on commissions. You can work with a discount broker, save money, and not have to deal with the stress of selling without a realtor. What does a realtor do in Connecticut?
Connecticut sellers looking to take advantage of the hot market have the option to sell without the help of a realtor. While doing so can help you save money, it does mean having to handle most of the sales process on your own. What’s more, if you aren’t careful and make a mistake, then you might lose more money than you save. If you do think selling without a real estate agent is right for you, be prepared to handle the follow responsibilities: Prices homes competitivelyAgents will provide you with a comparative market analysis (CMA) to accurately price your home. They look at the popularity of your housing market, how much similar properties are selling for, new upgrades you’ve added to the home, and other variable factors. But if you’re earlier in the home selling process and just need a general idea of what your house is worth, you may not need to contact a realtor. Try online home value estimators instead. To get an idea of how much home values can vary, here’s a comparison of different sized homes value in Connecticut.
» Get a free, instant home value estimate now! Connects you with local prosExperienced agents have networks of the best professionals in the area. They can connect you with handymen, stagers, photographers, and other service providers so you don’t have to track down reliable pros on your own. Lists your homeWorking with an agent will get your property listed on the multiple listing service (MLS) database. This can only be accessed by real estate agents, who use it to find homes to show their clients. Without a realtor, you’ll need to pay a flat fee MLS company to list your property, or you will face a much smaller pool of potential buyers. Finds potential buyersAn agent can market your home, schedule open houses, and follow up with people who toured your home. Agents will also take care of negotiating with prospective buyers and dealing with paperwork to ensure the sale doesn’t fall through. Cost of selling a house without a realtor in ConnecticutBelow, you’ll find a list of prices for common services you might want to consider if you decide to sell without a realtor. However, know that if your home is in need of repairs or is in a buyer’s market, you might need to spend a lot more to prep and market your property. 💸 Common costs for FSBO sellers
Overall, on average, it costs 7.5% of the home price to sell by owner and about 10% of the home price to sell with a real estate agent. However, the amount you’ll actually save will depend on repairs you need to make, concessions, and other expenses. Use our calculator to get an idea of how much you can expect to spend if you sell without a realtor. If you’re considering selling without a realtor in Connecticut, check out our friends at Clever Real Estate. Clever eliminates all the hassles and headaches of FSBO while helping you pay less than you would for a traditional realtor. In Connecticut, sellers pay an average of 2.6% to a listing agent. Considering the median home value in Connecticut is $348,000, that amounts to $9,026. However, Clever agents provide full service support and list your home for $3,000 (or 1% for homes that sell for more than $350,000). 💰 Find out how much you can save with Clever 💰 Connecticut FSBO paperwork and regulationsIf you decide to sell without a realtor, you’ll be responsible for collecting, preparing, and filing all the correct paperwork. » FIND: All the paperwork FSBO sellers need But know that every state has its own laws and regulations for real estate sales — and Connecticut is no different. Here are some additional forms you may need to close on a house without a realtor in Connecticut: 🤔 Did you know?More than 30% of buyers think that working with a real estate agent is the best way to find a home. Buyers believe their agents will find them the best options of homes to buy. Agents get most of their listings through the MLS — which you likely won’t have access to if you sell FSBO. You’ll need to pay for a flat fee MLS service to get your property listed on the MLS and get a chance to be noticed by more buyers and agents alike.
1. Get your home ready to sellSimple repairs, such as fixing a squeaky door or repairing dents in the drywall, can greatly improve the aesthetic appeal of your house. Outdoors, a fresh coat of paint, and some basic landscaping work can boost curb appeal. You can also hire a professional stager to get your home picture-perfect for showings. While prices vary from city to city, in Connecticut it costs an average of $1,529 to stage a house. High-quality photos of your property can make a huge difference when attracting buyers. Prices can vary based on your location, but in Connecticut you can expect to pay $180 on average for a session with a professional photographer. 2. Price your home accuratelyWithout a real estate agent, it can be difficult to accurately price your home. An appraisal is a professional assessment of a home to evaluate its condition and estimate its value. In Connecticut, an appraisal costs $300 to $375. » LEARN: Should I get an appraisal before selling? 3. List your homeThere are plenty of free or affordable websites where you can list your home. However, purchasing a flat fee MLS package often gives FSBO sellers the best bang for their buck. In Connecticut, this will cost you $500 to $1,500, but without a realtor, it’s the only way to get your property listed on the MLS — which is how most buyers find homes. 4. Show your homeOnce buyers start contacting you, it’s important to have a system to track showing appointments and their contact information. During a showing, be available to answer the buyer’s questions, but don’t follow them around from room to room. That can come off as overwhelming and scare buyers off. 5. Consider offersReviewing offers is about more than the price. You also need to consider whether the buyer’s moving timeline aligns with your own and what types of contingencies or concessions they’re asking for. Those parts of the offer will impact negotiations and how much you’ll actually walk away with. 6. Use a title and/or escrow companyIt’s important to have a third party that will take care of collecting signatures and fees before and during closing. Often this will be your title company, but in some cases, you might have to find a separate escrow company to manage the money involved in the transaction. Alternatives to selling without a realtor in ConnecticutFor many people, trying to sell without an agent isn’t worth the hassle. If you think you’ll need some help along the way, here are a few other low-cost options. Connecticut flat fee MLS companiesGetting your home listed on your local MLS is the best way to reach more buyers. The biggest home search sites (Zillow, realtor.com, etc.) all pull their listings from the MLS. Unfortunately, the only way to get your home on the MLS without a realtor is by purchasing a flat fee MLS package. In Connecticut, this will cost you about $500 to $1,500. However, if you want more support from a real estate professional, there are better options. » READ: The Top Flat Fee MLS Companies in Connecticut Connecticut discount brokersDiscount brokers are full-service real estate agents who are willing to work for a reduced commission rate. Sellers can save thousands while still receiving assistance from an expert local agent. » READ: The Best Discount Real Estate Brokers in Connecticut For discount broker services, we highly recommend our friends at Clever! Clever pre-negotiates with top agents to offer you the lowest commission rates without compromising on service quality. Frequently asked questionsDo I need a lawyer to sell my house in Connecticut?Yes, you do need to hire a real estate lawyer when selling a house in Connecticut. Their services will typically cost you around $300 per hour, which is well worth the price, given the number of legal requirements that you will have to comply with. Is selling a house without a realtor worth it in Connecticut?Listing your home FSBO saves you from having to pay the 2.5-3% commission that’s typically paid to listing realtors. However, this leaves you in charge of handling nearly everything related to the sale, opening you to more costly risks. For example, pricing your home too low can slash a few thousand dollars off of your profit. If you aren’t confident that you can handle the sale, then it’s best to work with a realtor instead. Related linksIf you’d like some more advice about selling your home, here are a few great resources to check out: How realtor commissions work in Connecticut: Even if you decide to sell your house without an agent, it’s still a good idea to offer commission to the buyer’s agent. Learn how much realtors expect to earn and what you can do to make your listing more appealing to agents and their clients. Top We Buy Houses Companies in Connecticut REVEALED: If you need to sell your home in a hurry, a We Buy Houses company may purchase your house as-is for a reduced rate. Find out if this option could be the best option for you here! : Wondering how much you’ll have to pay to sell your house? Check out this article to calculate your repair budget, closing fees, marketing expenses, and more. Can you sell a house asSelling your house as-is in Connecticut on your own can help you save around $10,500 in listing agent fees. Speed to Market: You can set out to sell your house whenever you are ready. You need not hunt for a real estate agent to begin the selling process.
What do you have to disclose when selling a house in CT?While some states require you to tell prospective buyers and their realtors about deaths, news events, or even hauntings, Connecticut is mostly focused on structural elements and buyer safety. If the roof leaks or you know that it needs to be replaced, you need to disclose this to your buyer.
Do you need a lawyer to sell a house in CT?A real estate attorney is needed when selling a house in Connecticut to do the closing on the sale, as well as securing many documents as legally binding and safe. The seller should have the advice and guidance of an attorney with respect to a brokerage agreement.
How do I sell my house without an agent in Connecticut?Connecticut flat fee MLS companies
all pull their listings from the MLS. Unfortunately, the only way to get your home on the MLS without a realtor is by purchasing a flat fee MLS package.
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Selling a house as is in CT
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