A quick formula to calculate how much money you could make on a sale.
How much money will you make if you decide to sell your house? Unfortunately, there’s no simple answer. However, we’re here today to share a quick formula to roughly calculate that.
Start by finding out how much money you owe on your mortgage. If you call your mortgage company, they can get you that answer. Then get a rough estimate of how much the house could sell for. After that, you should subtract about 5% to 7% of that for Realtor and title fees. There will also be inspection fees, and since those are fairly difficult to calculate, you can start with $10,000 just to have a rough number to work with.
If you know how much your home could sell for and subtract all of those costs, you’ll know how much you could walk away with. The other thing to consider is how long you’ve owned the house and if any tax ramifications come along with that, as that could affect your profits as well.
If you have any questions, don’t hesitate to reach out. I’d be happy to talk to you, so please email me or send me a message anytime!
