What Is My House Worth?
Selling your home is a major decision, and making sure you are provided with proper counsel as to its current market value is critical. Ultimately, your house is worth what someone is willing to pay for it and what you're willing to accept. Two key factors determine that final number: market conditions, both current and trends and your home's unique qualities and features.
Market conditions
A REALTOR will analyze data to help you gain a better understanding of the current condition of the market, and perhaps even more importantly, where the market is heading. They can offer insights into national, regional, and local trends.
All these factors play a significant role in determining what your home is worth and are all very specific to your location:
-
average sale price of homes
-
recent sales in the area
-
median days on the market
-
median sale price per foot
-
list-to-sale price ratio
-
supply and demand ratio
-
Interest rates
-
economy
Remember that when putting your house on the market, you will want a clear picture of the current market conditions and trends so you can make an informed decision.
Location
The location of your home largely determine its value. As the saying goes, location, location, location!
There are many variables to be considered when evaluating your specific location’s impact on value. Here are only a few questions your Real Estate professional will consider: What amenities are nearby? Shopping? Recreational activities? Hiking/biking/walking trails? Water access? Community involvement and pride? Do you have scenic views? How well do your neighbors maintain their properties? Are the homes around you similar in size and quality? Is there excessive noise from the road or a nearby business? Is the area known to have radon air, arsenic in the water, or other environmental concerns? What are the crime rates? How are the ratings of the local school system? Do you have privacy? Are you in a rural or urban area? Proximity to the highway?
Your home’s unique qualities
The size, quality, and amenities your home has to offer are also factors that must be analyzed. Real estate agents will adjust a property’s value based on:
-
lot size
-
square footage (finished living space)
-
vehicle storage
-
age and condition of the systems
-
overall condition
-
quality of the materials used in construction
-
curb appeal and landscaping
-
number of bathrooms
-
updates
-
amenities (fireplaces, heat pumps, decks, porches, pools, sheds, barns, etc..)
To gauge your home's value, a real estate professional needs to consider both the current market conditions and your home's unique qualities. While homeowners can keep track of some market trends, real estate professionals have access to historical data and a deeper understanding of market trends. It's always a good idea to seek the guidance of a trusted local real estate professional when determining your home's value.
