Do I Need To Be Present At The Closing?
No, a seller does not have to be present at closing. Every state allows power of attorney to handle a home closing. You do, however, need to prepare some things to make sure closing goes smoothly. To close successfully — whether you’ll be there in-person or not — you need the following items:
- Government-issued photo ID
- Keys, codes, or garage door openers to the property
- Any other remotes or devices that control home systems
- Any outstanding documents and paperwork your attorney or escrow agent instructs you to bring, such as a receipt showing completed repairs requested by the buyer.
- Cashier’s checks for closing costs and repair credits if you’ve agreed to cover a portion of the buyer’s closing costs.
Do I Need A Real Estate Agent To Sell A House From Out Of State?
No, although that’s a common misconception for a lot of homeowners in Oklahoma. If you do decide to work with a real estate agent, make sure you find one that’s specialized in long distance home sales. Your other option is to work with a cash home buyer like Blue Firefly Properties. We can typically close and pay cash for your home in just a couple weeks.
Do I Need To Hire A Home Stager?
You’ll only need to hire a home stager if you work with a real estate agent to sell your out of state house. If you decide to work with a cash home buyer, you do not need to hire a stager. Almost all cash buyers, like us, will buy your home as-is. So there’s no need to spend time and money making it look clean and appealing.
Why Are Properties Usually Sold From Out Of State
There are a number of reasons why property gets sold in a different state from where an owner lives. Some of the most common include:
- Real estate investor who owns rental property remotely decides that the time is right to sell.
- Executor of an estate is responsible for selling an out of state property.
- Next-of-kin who inherited property is not interested in being a long-distance landlord.
- Parents or a loved one may be moving into a senior living facility and the children need to sell.
- Change in family status such as a marriage or divorce when one spouse lives somewhere else.
- Relocating to a new job in another state with no time to sell before making a move.
How Are Out Of State Home Sales Taxed?
There are two types of taxes to consider when a property is sold out of state: (1) capital gains tax and (2) state and local taxes.
Capital gains tax is paid on any profit made when a property that has been held for more than 1 year is sold. The tax rate on capital gains is 0%, 15%, or 20% depending on a your tax bracket and filing status. If a property is held for 1 year or less, short-term capital gains are treated as ordinary income and taxed at a your ordinary income tax rate.
You may also be liable for paying state and local taxes to the state a property is located in, and to the state where the buyer resides.