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How to Accurately Calculate the Holding Costs for Your House in Knoxville, TN

Calculating your bottom line can make the difference between anticipated profits and wondering where your money went..
Homeowners who fail to calculate their holding costs can be in for a big surprise at closing!

While the idea of selling your home and cashing out may have you doing cartwheels, you may have to spend a little to make this a reality. There are several things to consider when you’re calculating the bottom line. You can think of your sales price as the gross and the check you receive at closing as your net! From the time your house hits the market until the property is sold, holding costs will eat away at your net proceeds. Getting a firm handle on these costs can better prepare you before listing your home for sale on the Knoxville market. Doing your homework is the key to setting realistic goals before you take the plunge! 

In addition to the costs to prep, making any repairs, and marketing along with commissions if you hire a real estate agent, holding costs are a necessary evil in the game of traditional home sales. And if forced by circumstance to relocate before the sale, your holding costs are doubled.

It makes no difference if you list with an agent or sell your house independently; you’re responsible financially for the expenses of holding the property until sold. While some of these expenses are obvious, it can be eye-opening to see them listed out on paper and realize how quickly they add up and how much they will deplete the profits on the sale. You must therefore understand how to accurately calculate the holding costs for your home in Knoxville.


The holding costs of listing include the mortgage payment, the largest of your expenses, and the most significant concern as time passes. It can be challenging to determine how many months of fees you’ll carry for the property once you’ve decided to sell. However, you can take a few clues from the MLS or speak to Knoxville real estate agents to learn the average number of days on the market (DOM). Although pricing your home at the right price point from the start is one of the best ways to ensure a quick sale, taking all of the steps necessary to present the home in its best light through your marketing efforts can lower the DOM number even further.


While it is tempting to turn off the utilities to save on your holding costs, if you have moved out before the sale, you should consider leaving everything in place for the convenience it will offer you or your real estate agent during showings. With the utilities on, issues with a primary home system, such as electrical or HVAC, will be brought to light. Because of disclosure laws, it is in your best interest to detect problems before the sale rather than become a discovery after the fact and a bone of legal contention.

Taxes and Insurance

While not always at the forefront of your mind when considering the holding costs involved with the sale of your house in Knoxville, property taxes and insurance, like the mortgage, will be a given when you own property. You’re responsible for the insurance on the home until it is no longer in your name, as well as the property taxes until the closing date. In addition, you’ll bear the burden of any repairs if any damage occurs, and your insurance does not cover the incident during the listing period.

Maintenance and Repairs

While you may not necessarily consider repairs as holding costs associated with your house in Knoxville, surprises of the disastrous type are common when you own a home. These unexpected expenses can add fear of the unknown to the listing process and financial urgency to your need to sell. You’ll also need to ensure that the home’s exterior retains the curbside appeal from the first day it is listed until sold. You’ll also need to make sure the interior remains show-ready at all times. Finally, if you’ve had to relocate, you may have the added expense of hiring the work done or traveling from home to home and caring for both.


Don’t overlook the Homeowners association fees when considering the expenses of listing and holding costs of a property while on the market. These fees are much like property taxes in that you are responsible for them until the home is no longer in your name. In addition, depending upon your agreement, there may also be transfer fees due upon the sale of the property. 

East Tennessee Home Buyers LLC can save you time and money! Because East Tennessee Home Buyers LLC pays cash, closing comes in a matter of days, so you can clear the slate on holding costs and start making other plans for your future. A direct sale to East Tennessee Home Buyers LLC means you don’t need to make repairs or spend your money on marketing. The fair offer you receive is the amount of cash you’ll have in hand; no hidden fees or commissions will come off the top at closing. Ready to learn more? Contact East Tennessee Home Buyers LLC at (865) 935-8680 today!

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