Do you know what owning your home is really costing you? People are often surprised when they add up all the numbers to see just how much of their income is being spent on an unwanted property. Learn more about some of the holding costs you will potentially face as a homeowner in Fort Myers.
Owning a house can be expensive! This is why when investors flip a house, the goal is to sell it as quickly as possible. Holding onto it will eat away at their profits until the house eventually ends up costing them! Do you own a house you’d rather sell? Waiting for a buyer and the escrow process can take months when selling with a real estate agent in Fort Myers. By the time the process has been completed, you could be out thousands in lost holding costs! Here are just a few of the costs you will continue to face if you opt to list your house on the MLS.
Typical Holding Costs
Utilities
Maintaining a vacant house can be financially burdensome, especially when it comes to utility bills. Even after you’ve moved out, it’s crucial to keep essential services like electricity and water running until the property changes ownership. This not only ensures the house remains in a sellable condition but also adheres to legal and safety requirements in many jurisdictions. Failure to keep utilities on could lead to issues with maintaining the property, such as mold growth due to lack of climate control or security concerns if alarms and lighting systems are inactive.
Moreover, the costs can add up significantly, especially if the property remains unsold for an extended period. For homes that are larger than necessary, the challenge becomes more pronounced as heating or cooling an oversized space can be prohibitively expensive. Many homeowners in such situations find themselves balancing the need to minimize utility expenses with the desire to attract potential buyers by keeping the house comfortable and presentable. Ultimately, the financial implications underscore the importance of strategic planning when transitioning away from a property, ensuring that ongoing costs are managed effectively until the sale is finalized, thereby minimizing unnecessary expenditures.
Taxes
Your tax obligation doesn’t end until the house has sold. Depending on the size and location of your home, you could be looking at thousands of dollars you will need to cough up for property taxes. With a fast sale, your tax obligation will end right away.
Routine Maintenance
When preparing a home for sale, the seemingly endless list of small expenses can indeed pile up faster than anticipated. From the essential light bulbs and lawn care supplies to more significant investments like air conditioning maintenance, every trip to the hardware store or home improvement center comes with its costs, both in terms of money and time. These expenses can catch homeowners off guard, especially if they haven’t budgeted for the ongoing upkeep and presentation required while the property is on the market.
Moreover, the cumulative time spent on these tasks can be surprisingly substantial. Each visit to Home Depot or similar stores not only involves the shopping itself but also the travel time and the effort of integrating these tasks into already busy schedules. For homeowners juggling work, family, and the logistics of selling a house, these maintenance responsibilities can quickly become burdensome. Factor in the potential delay in selling the home due to market conditions or buyer preferences, and the prospect of ongoing maintenance costs can make waiting for a traditional sale seem less appealing.
In such scenarios, exploring alternatives like selling to a real estate investor or through a direct sale platform might prove advantageous. These options can alleviate the financial and time burdens associated with prolonged home maintenance while waiting for a buyer. By weighing the costs and benefits of traditional versus alternative sales methods, homeowners can make informed decisions that align with their financial goals and lifestyle priorities during the selling process.
Surprise Repairs
There is nothing more frustrating than when a needed repair pops up while the property is listed or as a result of the property inspection. You are already at a point where you no longer wish to own the house, so having to sink more money into it can be incredibly frustrating.
Insurance
The average homeowner pays around $1,200 per year for their homeowner’s insurance. While this figure can vary widely depending on where you live, it can ultimately be a significant expense, especially when it’s for a house you no longer want.
Landscaping
When you list your Fort Myers house, curb appeal is incredibly important. When trying to sell your house the traditional way, it is important that you maximize your curb appeal. Whether you do it yourself or hire a professional to help, keeping up with the landscaping will cost you time and money.
Cleaning
Of course, the inside of the property must be kept in great condition as well. You’ll want to keep the house clean at all times, always prepared for a last-minute showing. Hiring a maid service can help, but you will need every member of your family to keep things tidy, always cleaning up after themselves.
Other Holding Costs
Depending on where you live and the current situation you are facing with your property, you may find that you are dealing with even more costs as a reluctant property owner. A few of these costs include…
HOA Fees
If you own a home in a development or private community, you’ll be required to keep up with the HOA costs until you are no longer listed as the owner of the home.
Property Management
Maybe you own an investment property in Fort Myers, but you are living out of the area and wish to sell. You may be dealing with property management fees and other costs as a landlord.
Home Watch Services
If you live out of the area and aren’t renting out the home with a property management company, you will likely have someone who you have hired to check on the house for you every so often.
When it comes down to it, your holding costs can add up to a small fortune. Once you have made the decision that you would like to sell your house in Fort Myers, the faster you are able to do it, the more money you will be able to put in your pocket. We invite you to run the numbers for your property so you can determine the selling option that will work best for your house in Fort Myers!