How much is owning your home is really costing you? Edmonton homeowners are often surprised when they add up all the numbers to see just how much of their paycheques are being spent on an unwanted property. Today we uncover some of the holding costs you most assuredly face as a homeowner in Edmonton.
Owning a house can be expensive! Is that even something I needed to tell you? This is why when Edmonton real estate investors flip a house, the goal is to sell it as quickly as possible. Holding onto it for an extended period of time 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 sales process can take months when selling with a real estate agent in Edmonton. By the time the process has been finalized, you could be out thousands of lost dollars holding costs! Here are just a few of the expenses you will continue to face if you opt to list your house on the market with a, Edmonton real estate agent.
Typical Holding Costs
Have you seen your power bill lately? A hot summer has meant high electricity demand and that means higher bills for [market-city] property owners. Regardless of whether you are living in the house or not, you’ll need to keep the power on. Utilities will need to remain in your name until the property is finally sold.
If you are living in a house that is too large, with the hope of downsizing, you may find yourself spending a fortune keeping a house warm or cool while waiting around for a buyer. If your utilities are averaging several hundred dollars each month, it won’t be long until your Alberta utility bills are costing you thousands by the time the property has actually sold.
Your tax obligation doesn’t end until the house has actually sold and closed. 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. When your Edmonton house sells, your tax obligation will end right away.
Regular And Timely Maintenance
Light bulbs, gas for the lawnmower, furnace filters, paint for touch-ups, … these things add up quicker than you may think. And the costs are not just the money. Often it’s the time that these tasks take to complete that is the biggest drain.
Take the time to consider how many trips to Home Depot you’re making, and how much time you are spending simply maintaining the home while it is listed. You may find that waiting for a traditional sale isn’t worth it.
There is nothing more frustrating than when a necessary repair pops up while the property is listed. This can happen when an Edmonton real estate agent viewing the property gives feedback or it comes as a result of a 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.
What an average Edmonton homeowner pays in insurance per year will vary based on several factors such as size, location, and age of the home. So 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. And with insurance costs rising, its just one more thing that can drain your wallet if your Edmonton property sits on the market for long.
When you list your Edmonton house, curb appeal is incredibly important. As the saying goes, you only get one chance to make a first impression. And as silly as it may sound to you, that initial feeling a would-be buyer gets when they pull up to your home often influences the rest of their showing. So it’s vital to create positive vibes with your [market-city] home’s curb appeal. Whether you do it yourself or hire a professional to help, keeping up with the landscaping will be an additional expense that needs almost weekly attention.
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. This can be the greatest nuisance if you are still living in the home AND if you have children. While hiring a cleaning service can help, you will need every member of your family to pitch in and keep things tidy, always cleaning up after themselves. Has that ever been an issue between parents and children? Ha! Well, it becomes even MORE of an issue when selling a home in Edmonton with an agent. If you want to consider other options, it is possible to sell your Edmonton home without any cleaning.
Other Holding Costs
Depending on where you live and the current situation you are facing with your Edmonton property, you may find that you are dealing with even more costs as a reluctant property owner. A few of these costs include…
Condo or Home Owners Association 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.
Maybe you own an investment property in Edmonton, but you are an out-of-town landlord who does not live in the community and wishes to sell. You may be dealing with property management fees and the additional costs of being a landlord.
Home Watch Services
If you live out of the Edmonton 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. The costs and worry never seem to end!
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 Edmonton, 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 Edmonton!