Random MM question: house prices FSBO

[aspentosh]

When we did FSBO last year we priced based on comps. It didn't matter that we weren't paying a selling agent- we wanted the best price we could get. Plus you'll still have to pay the buyer's agent.

[Deleted]

Dec 2, 2015 14:31:46 GMT -5 aspentosh said:

When we did FSBO last year we priced based on comps. It didn't matter that we weren't paying a selling agent- we wanted the best price we could get. Plus you'll still have to pay the buyer's agent.

This. We priced based on comps. We probably could've gotten a slightly higher price, but we were priced very well and were under contract in 3 days. That was worth it for us. 

We paid the buyers agent 2.5% instead of 3. And only because she was a little snooty to me on the phone the first time we talked. However, she was incredible and I would've paid her 3 if she had asked.

[Deleted]

Keep in mind you'll have to pay excise tax. Its $$$$$$.

[tommygirl03]

Dec 2, 2015 14:36:48 GMT -5 @roseyposey said:

Keep in mind you'll have to pay excise tax. Its $$$$$$.

Why? Assuming it's the sale of a primary residence, it's a non-table event? Or has something changed?

[Deleted]

Dec 2, 2015 14:51:09 GMT -5 tommygirl03 said:

Dec 2, 2015 14:36:48 GMT -5 @roseyposey said:

Keep in mind you'll have to pay excise tax. Its $$$$$$.

Why? Assuming it's the sale of a primary residence, it's a non-table event? Or has something changed?

In WA the seller has to pay a tax. Maybe excise is the wrong term. But the seller pays a sales tax on the sale of their home. 

[monsterz]

Are you selling your house? I'll buy it

[monsterz]

Dec 2, 2015 15:05:29 GMT -5 @roseyposey said:

Dec 2, 2015 14:51:09 GMT -5 tommygirl03 said:

Why? Assuming it's the sale of a primary residence, it's a non-table event? Or has something changed?

In WA the seller has to pay a tax. Maybe excise is the wrong term. But the seller pays a sales tax on the sale of their home. 

No that is the correct term 1.28% excise tax is paid by the seller.   One of the downsides to having no state income tax.

[Deleted]

Dec 2, 2015 15:08:15 GMT -5 monsterz said:

Dec 2, 2015 15:05:29 GMT -5 @roseyposey said:

In WA the seller has to pay a tax. Maybe excise is the wrong term. But the seller pays a sales tax on the sale of their home. 

No that is the correct term 1.28% excise tax is paid by the seller.   One of the downsides to having no state income tax.

I think its even higher than that, at least King Co tacks on an additional amount to the percentage. 

Glad I had my terminology right!! 

[tealblue]

Dec 2, 2015 18:20:58 GMT -5 spunbutterfly said:

Dec 2, 2015 15:58:27 GMT -5 @roseyposey said:

I think its even higher than that, at least King Co tacks on an additional amount to the percentage. 

Glad I had my terminology right!! 

Thanks! We're just dipping our toes finally (I wanted to sell last summer, but my husband put it off until it was too late).

Oof, well, if there are no other costs, the tax isn't so bad. It's also not our primary place of dwelling so we'll have to pay cap gains on the difference between the sale price and what I bought it for in... 2007. ._.

You'll likely need to pay ordinary income on the depreciation recapture (I.e. The depreciation you've taken from 2007-2015, since it was deducted on your tax returns those years.). You'll likely be able to lessen the gain with the excise tax, and any closing costs you'll pay/property taxes you are paying, etc. The remainder of the gain will be capital but I would recommend having the help of a CPA if you don't already have one.