As a former realtor, I'm all in favor of selling by owner and you can sell your home without a realtor. In your current situation, you are correct that you need to protect yourself first. The best thing to do is tell your buyers that you will continue to show your home and if they get their home under contract, you will accept an offer from them. Explain that you do not want to take a deposit because anything can happen with the buyers home (deals fall thru, financing mishaps, inspection issues, etc.). Also you have no idea how long it will take your buyers to sell their home. It could be anywhere from 1 week to 6 months or longer. That's their problem - not yours. Your goal is to sell your home for the most money quickly. The longer your home stays on the market, the tougher it is to sell. You need to avoid this at all costs. If you followed your husband's advice and accepted a non refundable deposit, that means keeping your home on the market (unsold) for perhaps a year because you have no idea how long it will take to sell the buyers house. Explain this to your spouse.
In the meantime, drop the price a bit for your home and find a new buyer. Make sure this buyer has a pre approval from a lender or if they are selling their home - make sure it is under contract.... more
Besides what you pay for the house (or really what you borrow and then what you give the seller by way of deposit and at the closing), is what are called closing costs. Theyâ€™re expensive in New Jersey as they cover all the extra things you have to pay for besides the new house.
First of all, itâ€™s the costs to the lenders for their fees, (banks are always cheaper by a couple thousand dollars usually), which are lender fees (application fee, origination, mortgage insurance, if you borrowed 90% or more, appraisal fees).
Then there are the title costs which are the next highest items, $500 per thousand and approximately $300 for title search and endorsements.
In addition, there is your home inspector, surveyor, if necessary, attorney fee, cost of recording Deed and Mortgage and Notice of Settlement (estimate â€“ $350) and surprise, surprise, finally the extra advance payments of taxes (usually 3 months, but can be 4, so take one-third of yearly taxes), and then there is about a month of mortgage interest.
If you estimate $10,000 for a house about $400,000, youâ€™ll be close.... more