HOW TO MINIMISE THE COST OF SELLING A HOUSE IN NZ
When people want to know what the cost of selling a house in New Zealand is, usually what they are most concerned about are the real estate commission fees.
But there are other potentially costly situations to be aware of and avoid. One of these is about how to avoid the risk of being liable for paying double commission should you have to list twice.
The unforeseen or hidden costs of a poor real estate experience at the end of a 90 day contract can have far greater financial impact than the commission cost you budgeted for, so it pays to compare real estate agents whose integrity, experience, character and negotiation experience is all at the level you deserve for an optimum result.
Find our more about vetted real estate agents and the difference it makes - a genuine free service.
HOW MUCH DOES IT COST TO SELL A HOUSE IN NZ?
We have prepared some examples of commission fee costs based on average percentages charged by real estate companies to get you started with your planning.
This will make up the bulk of your expenses but does not include advertising, photography, auctioneers (if your chosen method of sale), home staging or legal advice or documentation.
This detailed page explains these costs and how to keep expenses low.
HIDDEN COSTS OF SELLING YOUR HOME
We would describe hidden costs of selling as expenses that result from:
- non-disclosure by a real estate agent or withholding the cost until after you have signed an agency agreement for them to list your property for sale
- needing to spend additional money on advertising above your budget because it hasn't sold
- additional legal fees that are required to address legal questions or issues
- Obtaining a building inspection - repairs and maintenance costs can be additional.
These are just examples as in reality, there is no one fixed cost when it comes to selling a house as every transaction, property, location, real estate agency and agent is different.
There should be no surprises at all cost-wise as real estate agents are required to itemise all of these prior to you signing up with them. Any additional costs afterwards or changes to your marketing or advertising must be approved by you in writing.
On the upside, being aware of how you can add value to you property, negotiate costs, prevent mistakes and long drawn out sales will all contribute to your equity.
If you need help, get in touch - we've been helping Kiwis sell their homes for over a decade.
ALL REAL ESTATE COSTS ARE NEGOTIABLE
The good news is that all costs to sell a house in New Zealand are negotiable and often real estate agents will offer complementary advertising. This is something we can help you find.
Be mindful that the financial value of a competent real estate agent can make tens or hundreds of thousands difference in a sale price, while the commission percentage is usually a few thousand, so whether to engage an agent shouldn't be based on fear of paying the commission fee but rather the competence level. This is what we establish using our stringent criteria.
Home sellers find our Agent Questionnaire really helps sort the wheat from the chaff when interviewing agents. Feel free to enquire about the questionnaire.
Find Out More | Free Phone 0800 789 532 or request a free list of vetted real estate agents to compare.
Agent Finder NZ awards:
- Best Estate Agent Vetting Service 2018
- Best Property Advice Hub New Zealand 2021