Selling a house in Ireland is not an expense-free endeavour. There are services and documents you need to get and pay for before you can put your house on the market and close a sale. What’s the cost of selling a house in Ireland? Home sellers like you may spend anywhere between 1.2% to 4% of the property’s value.
It is prudent to have an estimate of how much you’ll need to spend, especially if you intend to use your earnings from the sale to buy a house or pay a mortgage. Doing this can help you avoid financial woes later on.
What Do You Spend on When Selling a House in Ireland?
Sure, you can put your property on the market as is. However, this can significantly affect your asking price and your home’s potential to get sold fast. Worse, you may not even be able to sell your house at all, especially if there are glaring damages. So, unless you are willing to sell for less and wait longer for a buyer, it’s best to improve your home’s appearance.
Making your house appealing doesn’t have to cost a fortune. For one, simply fixing damages like cracks on walls and leaking pipes can go a long way.
Also, you do not have to renovate every room in the house. You can just focus on areas which matter most to clients and can increase your price point like the kitchen and the bathroom. Moreover, you do not have to completely overhaul the room. Making minor remodels like repainting cabinets and upgrading fixtures and hardware is enough. In fact, it actually results in better return. Reports show that minor kitchen renovations pay an 81% return while high-end changes only pay 59%.
Never spend more than what you’ll recoup. Be sure to make the necessary computation before fixing your house. The general rule of thumb is to spend no more than 5% to 10% of your property’s value.
Real Estate Agent Fees
In Ireland, some real estate agents charge a flat or fixed rate while others earn a percentage-based commission. Their fees range from 1.5% to 2.5% of the property’s agreed sale price plus VAT.
How much the real estate agent will charge depends on several things. Aside from the property’s value, other factors that affect the fee are the scope of work and the length of the selling period. The location of the house, particularly its accessibility, may also come into play in the computation of the agent’s remuneration. Usually, estate agents charge a higher percentage for houses situated in rural areas as compared to those in prime locations like Dublin.
Before you pick a real estate agent, shop around. Nowadays, it is not impossible to find professional realtors whose fees are lower than the industry average. Case in point, the real estate agent fee at MTS Property, a trusted real estate company in Ireland, is only 1% of the agreed sale price.
What are the legal fees for? These are mainly for the payment of the solicitor and the processing of legal documents. Most solicitors charge a flat-rate fee although there are still those who get paid a percentage of the sale price. It is estimated that solicitors in Ireland these days get paid around €1,000 to €1,500 plus VAT. The rate is often higher for bigger properties as well as for those with problematic titles and the like.
Aside from the solicitor’s fee, you may also have to spend on other legal-related tasks such as land registry and legal searches. Furthermore, you may need to give your solicitor additional money if he needs to settle any unpaid property or water taxes you have.
You have to spend on advertising, especially if you want to sell your house fast. The cost depends on the types of marketing materials you’ll be using and where you’ll be advertising.
Some estate agents pass on the advertising costs to clients. If you are working with this type of agent, you’ll have to pay an additional fee. There are also agents whose rates already include marketing costs.
You need to secure a Building Energy Rating (BER) certificate before you can sell your house. Depending on the size and condition of your property, this may cost around €150 to €300.
A popular practice nowadays is home staging, the art of preparing or redecorating a property to make it more appealing to buyers. Professional home stagers charge €125 and above for a two-hour consultation. Meanwhile, home staging costs range from €3000 to €50k. The price is calculated based on the number of areas or rooms to be redecorated and how long the furniture will be rented.
To learn more about the cost of selling a house in Ireland, call us today at 01 495 9020!