Considering leaving bay area selling my condo, good idea?

[phantompilot]

5% appears to be the norm in California. However, Redfin is at 4% and will be going much lower. There is no reason for these arbitrary commissions, its just cartel economics, which Redfin and Zillow and other apps/sites are helping to disrupt.

What will NOT be going down is the fees paid to public officials, which depending on the county is about half a percent, but these fees are shared between the parties.

Also there are flat fees that add additional expense:
-appraisals (paid by seller)
-inspections (paid by seller)
-title/escrow fees (paid by both)

In all, selling property is expensive and eats up a lot of profit. In a recent hot market like the San Francisco Bay Area, that might only be a year of your gains, but in other markets it could be many years.

[joey_mcmarbles]

Go ahead and move, just make sure you're doing it for the right reasons. Your condo is valuable because the social capital of the bay area is tremendous, don't be shocked if the only job you can find in your next destination is Walmart greeter.

[ggcd951]

Originally Posted by phantompilot

5% appears to be the norm in California. However, Redfin is at 4% and will be going much lower. There is no reason for these arbitrary commissions, its just cartel economics, which Redfin and Zillow and other apps/sites are helping to disrupt.

What will NOT be going down is the fees paid to public officials, which depending on the county is about half a percent, but these fees are shared between the parties.

Also there are flat fees that add additional expense:
-appraisals (paid by seller)
-inspections (paid by seller)
-title/escrow fees (paid by both)

In all, selling property is expensive and eats up a lot of profit. In a recent hot market like the San Francisco Bay Area, that might only be a year of your gains, but in other markets it could be many years.

wow can you elaborate especially on public officials? That would be quite enlightening...

[capoeira]

Originally Posted by ggcd951

can you elaborate especially on public officials?

https://www.sccgov.org/sites/rec/ser...ding-home.aspx

"The Documentary Transfer Tax is due on all changes of ownership unless an applicable statutory tax exemption is cited. It is computed at a rate of $.55 per $500 or fractional portion of real property value, excluding any liens or encumbrances already of record.

Properties located within San Jose, Palo Alto and Mountain View are taxable at a rate of $1.65 per $500 or fractional portion of real property value. (R&T Code 11911). Documentary transfer tax as well as the applicable city conveyance taxes are collected at the time of recording."


If one sells a $500K property in San Jose the government gang extorts $2,200 for documentary transfer tax and city conveyance tax.