Is it "expected" that in HR the seller pays all closing costs in a real estate transaction? (Newport News: sales)

[Dr. Johnny Fever]

Okay, I've basically been a good sport about this sinkhole of an area since we moved here, but now I've had enough. We bought our home ten years ago (yes, I understand we bought high). We paid our closing costs. We consulted the husband of our buyer's agent (he does the selling, she does the buying) yesterday for a consult. He told us that, as sellers, we would be "expected" to pay all closing costs and that, after his fees, etc, we would still have to bring about $12,000 dollars to the table. This is after paying about $5,000 in basic cosmetic repairs.

He said that paying closing costs was "standard" practice for sellers in HR.

Although, it obviously wasn't ten years ago when we bought our house.

WTF? Sometimes I feel like I'm in that movie with Nicolas Cage where he just. can't. get. out. of. town. (The movie's Trapped in Paradise, but Hampton Roads is hardly paradise, so the comparisons stop there.) We NEVER planned to stay here more than five years and now we can't escape?

We live in a nice (pretty much the nicest) part of Newport News. Sorry for the rant, but I am so sick of all this. I just want to get the f--- out of here!!!

[fmac]

Perhaps there is a misunderstanding. Sellers pay for Real Estate commissions, traditionally 6% (3 for buyers agent and 3 for sellers agent)but this is negotiable. The theory is though, that if you as the seller offer less than 3 %, agents will not always be willing to show your house. And you did not have to contribute to these commissions when you bought the house. You will also be responsible for paying for your closing costs...typically $1000-$2000 depending on the time of month the closing takes place and where you are in paying property taxes, monthly mortgage etc. It is not uncommon for a buyer to ask a seller to pay part of or all of their closing costs but YOU ARE UNDER NO OBLIGATION TO DO SO. I advise sellers that if you know something needs to be fixed, do it. Any credible Realtor will advise a buyer to put a home inspection (which the buyer pays for and you can agree or disagree to let them do it) in the offer. If you agree and the buyer wants certain repairs made, again this is negotiable. have you thought of trying to sell the home yourself? IF you are not under a written agreement with a Realtor to represent you at this point and I can help clarify the situation as to what current Real Estate law is, Please send me a message. Happy to try to help.

[Lockdev]

Get a new agent. This is a tactic by the agent to increase the sales price so their commission is higher. Nothing more.

That is also NOT "standard" practice in Hampton Roads.

I've bought and sold here, not once did I expect seller to pay closing costs, nor have a buyer who "expected" closing costs to be paid. I have had buyers ask for half closing, which I either compensated for the additional agent commission, or downright rejected.

Your agent sounds like a scumbag.

[Spazkat9696]

Our seller paid all closing costs. When did you buy? You should have enough in the house to make your money back. We bought 10 years ago and our most recent assessment is above what we paid.

[fmac]

Unfortunately tax assessments are usually not a good indicator of a home's value. Check what like size/features homes have sold in your area in the past six months. This is what appraisers use and then they adjust value for differences. The market is what drives home prices. But to your point, we all hope homes appreciate as well as the tax benefits we have received as home buyers.
Also, the decision to provide closing cost assistance can be done without impacting the sales price of the house which is what is used to figure a commission.

[Dr. Johnny Fever]

Thanks, everyone. We're meeting with a different agent tomorrow. In retrospect, this guy's wife (our buyer's agent) really got us a pretty terrible deal to begin with, so I'm not sure why we're relying on her husband to be any better. We were young, new to real estate, first time buyers, etc. We'll look into getting someone better this time.

Thanks again for your help. I was venting. We've actually enjoyed our time here in HR. We're just trying to move closer to family and feel stymied. Hopefully this new agent will give us better news.

[Spazkat9696]

Originally Posted by fmac

Unfortunately tax assessments are usually not a good indicator of a home's value. Check what like size/features homes have sold in your area in the past six months. This is what appraisers use and then they adjust value for differences. The market is what drives home prices. But to your point, we all hope homes appreciate as well as the tax benefits we have received as home buyers.
Also, the decision to provide closing cost assistance can be done without impacting the sales price of the house which is what is used to figure a commission.

True but ours took a major hit the year after we bought. It’s now about 50k hignher than the lowest point.

ETA: everyone I know has sold/purchased their house for more than the city assessment.

[Lockdev]

Originally Posted by Spazkat9696

True but ours took a major hit the year after we bought. It’s now about 50k hignher than the lowest point.

ETA: everyone I know has sold/purchased their house for more than the city assessment.

I bought mine for nearly 50k below assessment. A coworker just bought one for 20k below.

Assessment does not equal actual value of the home.

Only an appraiser can give you an accurate estimate of your home's worth.

Assessments generally come up with a price based on raw numbers like square footage, acreage, and recent sales. They do not take home condition, amenities, or upgrades into consideration.

[Spazkat9696]

Originally Posted by Lockdev

I bought mine for nearly 50k below assessment. A coworker just bought one for 20k below.

Assessment does not equal actual value of the home.

Only an appraiser can give you an accurate estimate of your home's worth.

Assessments generally come up with a price based on raw numbers like square footage, acreage, and recent sales. They do not take home condition, amenities, or upgrades into consideration.

Well that sucks lol