What’s Your Home’s True Value? Part 2
There are many tried and true methods of determining the true market value of a home, but perhaps none is as popular as the use of like sale data. The use like sale values can as the use of like sale data. The use like sale values can
be incredibly valuable, but it is important for homeowners to know how to use that data wisely. There are a number of factors to consider when It comes to using like sales information to determine the value of your home, and misinterpreting that data could mean that your home sits on the market for months, or worse, is sold for far less than the market for months, or worse, is sold for far less than its true market value.
The good news is that finding like sales data has never been easier than it Is today. While finding this important information once meant a time consuming and lengthy Journey to the county courthouse, these days much
of that information is available online at the click of a mouse. Many municipalities and townships make the records of real estate sales easily available online, ready for home buyers and sellers to use. In addition to these free sources of sales data there are many commercial websites whose business Is to consolidate all aspects of real estate transactions and make them available to both real estate transactions and make them available to both real estate professionals and ordinary home buyers and sellers.
When properly used this information can be incredibly important; they key Is to use that information well and to understand the factors that can make one home more or less valuable than the one down the street. Aline the three
most Important factors In real estate are still location, location and location, there are other factors to be considered as well. By taking these extraneous factors into account home sellers will be In a better position to price their home fairly. In the real estate world a fair price is the key to a quick and successful sale, and the initial asking price can set the tone for the entire sales
transaction.
Among the factors to consider when comparing the potential value of your home to like sales data are the following:
- Make sure you are comparing apples to apples when comparing like sales data. Factors like the number of bedrooms, number of bathrooms and the total square footage are essential to determining the value of the home.
- Amenities like a finished basement, new kitchen, remodeled bathroom or enclosed patio can have a big impact on home value as well. If that recently sold home boasts a sunroof or modern kitchen it may well be worth more than your current residence.
Conversely, if your home features additional features not Included in the recently sold property then the value of your house may be greater. Like sales data works best when it is used to look at several different properties instead of just a few.
When comparing sales data across several different neighborhoods be sure to take into account the nature of that neighborhood as well as Its prospects A home located In an up and coming neighborhood may well command a higher price than a the smaller property in a declining area. In most cases the current owner of the home will be in the best position to determine the relative value of different neighborhoods.
Consider the tax rates of neighboring locations as well. A home In a low tax area may be more attractive, and therefore more valuable, than a home In a high tax location. While there are no doubt additional factors to confider
when using like sales data to price your home, the above list should provide a good starting point. There is no doubt that like sales information can be very valuable, but it is best used as part of an overall appraisal strategy. The success or failure of your home sale depends on it.
What’s Your Home’s True Value? Do an Appraisal
Back when the real estate market was on fire, many lucky home sellers watched with excitement and anticipation as bidding wars broke out on their front lawns. This frenzy of activity would often result In the home selling for far more than its asking price, with the current owner of the home coming out as the dear winner.
For much of the country those heady days are behind us, and that frenzied seller’s market has quickly turned into a that frenzied seller’s market has quickly turned into a more challenging and difficult buyer’s market. While this quick turnaround has been welcome news for home buyer who had been priced out of the market, the news is less welcome to those with ousting homes to sell. Being forced to sell a home in a buyer’s market can be a real
challenge, and it can be difficult to preserve the gains that the owners had thought were all but locked in.
When the real estate market turns challenging it is even more important for homeowners to price their homes pro pert the first time around. Home sellers who place the initial the first time around. Home sellers who place the initial price of their home too high are at risk of not selling their home as quickly as they need to, while those who place too low a value on their home risk a potential loss of profit.
In addition to the risk of having the home sit on the market, those (milers who price their homesto high are at risk of having their properties be perceived as less desirable and less valuable. Lowering the price on a home is always a risky proposition, and many potential buyers may think that the sudden lowering of price signals an underlying problem with the quality of the home. Those owners may also find real estate agents less willing to
give it their all when the price needs to be lowered. Avoiding this risk is yet another reason to get the home appraisal process right from the start.
There are a number of methods home sellers can use to determine the true value of the roof over their head. In some cases a single appraisal method may be sufficient, while in other cases it may be best to use a combination of several different methods in order to find the best asking several different methods in order to find the best asking price.
One of the best ways to determine the true value of a home is to hire a professional real estate appraiser. It is the job of these professional appraisers to examine the home and arrive at a fair and accurate market value. While prices will vary from location to location, the typical real estate appraisal will cost around INR 25,000/-. For those homeowners seeking to get the most from their property this can be money well spent.
When choosing a real estate appraiser it is a good idea to check their references and to ensure that they have obtained all of the certifications and censure required in your area. While most real estate appraisers are accurate, honest and trustworthy, others are not. Choose it the right appraiser is the only way to ensure the accuracy of the real estate appraisal.
Those homeowners who are listing their home with a real estate agent maybe able to get an accurate appraisal of Its value by enlisting the help of an experienced real estate agent. When using this approach be aware that not all real estate agents will be equal when It comes to appraising the value of a home.
Real estate agents will however have access to an important source of information that can help them in that appraisal source of information that can help them in that appraisal process. That vital information is like sales data, and this data can be very important when it comes to determining the value of a home. By compiling information on sales of like properties in the same area, real estate professionals and others can get a feel for what a
particular piece of property may be worth.
