Getting Started: Selling A House
In the “Selling A House” section we want to clarify your goals around your future home sale. When selling a home we want to understand three things…
- Value of the home: What is the home worth in today’s dollars
- Cost of sale as a percentage of the sale price: This is to cover real estate fees and closing costs and a good estimate is 5%
- Target sale date: When do you expect your home will be sold in the future?
These values will then be used in the Projections section to help map out your future home sale.
In the Projections section, the cost of sale will be considered an “other” expense in the year of sale and will be added automatically. The asset value will automatically be increased by inflation until we reach the target sale date at which point the home is sold and the proceeds will be automatically allocated to various accounts within the plan.
