Health & Fitness
Moving is Not Always the Best Option
It costs money to sell and buy houses, why moving is only an option, there may be better choices.
It may seem obvious but selling a Main Line home and buying a new one, larger or smaller costs money.
Selling your Main Line home the costs include the commission which is negotiable but probably your largest individual item, this is divided between both the listing broker and the broker representing the buyer. Fees for obtaining certificates of tax bills, sewer bills etc having been paid, a notary fee for the closing officer, transfer tax as charged by the county and the municipality and any use and occupancy certificate fee. These most likely will run about 6-8%.
As a buyer you have several of the same costs for closing, trans fer taxes, any commission due to your broker, mortgage application fees, credit report fees, appraisal fees, various inspection fees for the home inspection, termite, radon and any other inspection you decide to carry out, well, septic and boundaries for example. In addition to these you have title insurance which is regulated by the state in Pennsylvania, however attorneys do get a lower rate and often pass this on, recording charges for the deed, these add up to maybe 2-4% of the price of the home.
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If you escrow your taxes, it can also take a month for you to receive the refund of your old escrow account, whilst you may be required to fund a new escrow account for your new home.
Of course when you sell your home there may also be some repairs that need to be done prior to listing your home and issues may be raised in a home inspection by the buyer that require repairs or a credit to the buyer for settlement to occur. On buying your new home every buyer likes to personalize their space so additional funds will be required possibly for new furniture, appliances, paint etc.
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These amounts all add up and need to be borne in mind regardless of whether you are moving to a bigger home or downsizing, and you should ask your real estate agent to help you calculate the total cost and benefit of moving or staying put for now. Sometimes, if it is possible building an extension is a better use of your money than moving.
