What costs are involved?
Typically, the costs involved in selling a second home or rental property are no different than your primary residence. Most selling expenses are calculated as a percentage of the selling price, so they vary significantly from property to property. Your Coldwell Banker sales associate will be pleased to provide you with an estimate of your total closing costs at a given sale price. Keep in mind that beyond the actual hard costs of your sales transaction, your escrow officer will be prorating property taxes, mortgage interest, association dues and possibly other expenses. These prorations may significantly increase your total closing costs, depending on the time of the month you close escrow, and the size of your mortgage. Your sales associate can explain this further. If you are selling a property you have classified as income property for tax purposes, you may consider a "1031 Exchange". There may be significant tax savings to you if your plan is to purchase another income property with your sale proceeds. Contact your accountant for information and to see if your transaction will qualify for a 1031. There are usually additional costs involved in a 1031 Exchange, depending on how you structure the transaction. It is important to investigate a 1031 prior to actually going into escrow, because there is contract language your sales associate will include in the transaction if you are exchanging your property.
Contact Shaver Lake Vacation Rentals for an updated income printout. This will show you the gross income numbers from a sampling of our rental units. Keep in mind that there are expenses involved. You will want to crunch the numbers for potential income and typical expenses before making a decision to rent.
