Humber/Ontario Real Estate Course 4 Exam Practice

When evaluating the costs associated with selling a property, paying for a property survey if required by the buyer is typically not a common expense for the seller. This is because the buyer usually requests such surveys and may often bear the cost to ensure that the property meets their standards or due diligence requirements. Conversely, sellers tend to incur various other expenses, such as legal fees for completing the sale, which are necessary for the proper transfer of ownership and other legal aspects of selling real estate. Additionally, if a seller has a mortgage, they may face a penalty for early discharge, which is common if they pay off their mortgage before its term ends. Tax implications like capital gains tax can also arise, particularly for secondary properties that may appreciate in value, making it a consideration for sellers. Repair costs before the sale are generally seen as necessary to enhance the property’s condition and appeal to potential buyers. Home staging expenses may be incurred to help present the property in its best light and make it more marketable. Thus, the correct answer highlights the unique financial dynamics at play in real estate transactions, specifically regarding the responsibilities of buyers versus sellers.