Selling your home through a real estate agent might seem like the best way to get top dollar, but many homeowners don’t realize just how expensive the process can be. From realtor commissions to hidden fees, the total cost of a traditional home sale can eat into your profits. Let’s break down all the costs you might face when selling with a realtor.
1. Realtor Commissions (5-6%)
One of the biggest expenses when selling with an agent is the commission. In most cases, the seller is responsible for paying both the buyer’s agent and seller’s agent commissions, which typically total 5-6% of the home’s sale price.
For example:
- If you sell your home for $300,000, expect to pay $15,000-$18,000 in realtor fees.
- If you sell for $500,000, commissions could cost $25,000-$30,000.
These fees are deducted from your final proceeds at closing, significantly reducing the amount you take home.
2. Closing Costs (2-5%)
Sellers are also responsible for various closing costs, which can range from 2-5% of the home’s sale price. These costs typically include:
- Title insurance – $1,000-$3,000
- Escrow fees – $500-$2,000
- Transfer taxes – Varies by state, but often 0.5-2% of the sale price
- HOA fees (if applicable) – Some homeowners associations charge a transfer fee, often $200-$500
For a $300,000 home, closing costs can add up to $6,000-$15,000—another big hit to your profits.
3. Pre-Sale Repairs & Renovations ($5,000-$50,000+)
To attract buyers and get the highest offer, many homeowners spend thousands on repairs and updates before listing. Some of the most common expenses include:
| Repair/Upgrade | Estimated Cost |
| Roof repairs/replacement | $5,000 – $15,000 |
| Kitchen remodel | $10,000 – $25,000 |
| Bathroom updates | $5,000 – $15,000 |
| New flooring | $3,000 – $8,000 |
| Interior & exterior painting | $2,000 – $7,000 |
| Landscaping & curb appeal | $1,000 – $5,000 |
Even if you only make minor upgrades, the costs add up quickly and can significantly reduce your profits.
4. Staging & Marketing Costs ($500-$5,000)
To make your home look appealing to buyers, realtors often recommend home staging, professional photography, and marketing expenses, including:
- Home staging – $500 to $2,000+ (depending on home size)
- Professional photos & virtual tours – $200 to $500
- Online & print advertising – $100 to $500
These costs aren’t always covered by your agent, meaning they could come out of your pocket before you even sell.
5. Holding Costs (Mortgage, Utilities, & Taxes While Waiting to Sell)
The average time to sell a home with a realtor is 3-6 months, and during that time, you’ll still need to cover:
- Mortgage payments
- Property taxes
- Homeowners insurance
- Utility bills (water, electricity, gas, etc.)
If your mortgage is $2,000 per month and it takes 6 months to sell, that’s $12,000 in holding costs before the home is sold!
Total Estimated Cost of Selling with a Realtor
Let’s look at an example breakdown for a $300,000 home:
| Expense Category | Estimated Cost |
| Realtor Commissions (6%) | $18,000 |
| Closing Costs (3%) | $9,000 |
| Repairs & Upgrades | $10,000 – $30,000 |
| Staging & Marketing | $1,000 – $3,000 |
| Holding Costs (6 months) | $12,000 |
| Total Costs | $50,000 – $72,000 |
If you were expecting to pocket most of your $300,000 sale price, you might be surprised to walk away with only $230,000 or less after all the expenses.
Is There a More Cost-Effective Way to Sell?
If you want to avoid realtor fees, repair costs, and long waiting times, selling your home for cash could be a great alternative. With a cash sale:
✅ No realtor commissions – Save 5-6% instantly.
✅ No closing costs – Many cash buyers cover all fees.
✅ No repairs or staging – Sell your home as-is, with no extra costs.
✅ Fast closing – Instead of waiting months, close in as little as 7-14 days.
Instead of paying $50,000+ in selling expenses, you could get a fair cash offer and walk away with more money in your pocket.
Final Thoughts
While selling through a realtor works for some homeowners, the hidden costs can significantly reduce your profits. If you need a fast, hassle-free sale without the expenses, consider working with a trusted cash buyer. Contact Golden Peak Properties today for a no-obligation cash offer and see how much you can save!