5 Factors That Determine Your Homes Value
We've seen a lot of interest from homeowners ready to sell their house but how do you know what your home is worth in today's market?
Before you pull the trigger, check out these 5 Factors that Determine Your Home’s Value.
Location, location, location
With location, there’s more to consider than just the neighborhood your home is in. While an address in a particularly prestigious or highly sought-after district will certainly boost its sale price, buyers also consider the type of street it’s on. Generally, houses that are located on busy roads are valued slightly lower than comparable properties on quiet side streets in the same area.
Your home’s condition
Structural problems, outdated wiring, old roofs that need replacing, crumbling masonry, and unkempt landscape elements will all have a negative impact on buyer offers. The flip side of the coin is that well-kept properties that have clearly been carefully maintained will command a premium, especially if you’ve recently done some renovations.
If you want to renovate as a way to generate better offers, keep in mind that basic maintenance-oriented fixes and cosmetic improvements generally have the best ROI rates.
Larger homes are worth more money, especially if they are significantly bigger than neighboring properties. However, it isn’t just the total square footage of the house itself that matters. Buyers will also consider the size of the lot and the number of bathrooms and bedrooms in the home when evaluating its lifestyle and investment appeal.
How old is your home?
Age is a funny thing. It can work for you or against you, regardless of whether your home is newer or older.
If you have a newer home in a neighborhood filled with heritage properties, it may be valued lower than you might think simply because it is more likely to be considered less desirable from an ownership perspective. In most other cases, though, newer is usually better. Recently built homes tend to be more energy-efficient, and their infrastructure is typically in healthier shape.
On the flip side of the coin, older homes with historic appeal may actually be worth more than newer properties in the same neighborhood. The caveat, of course, is that they will need to be well-maintained with modern, upgraded infrastructure for their aesthetic appeal to translate into a higher sale price.
Like age, market forces can work in your favor or to your detriment, depending on which direction current trends are headed. High demand and low property inventories contribute to rising prices, while high property inventories and low demand will make meeting your asking price more challenging.
When market forces favor buyers, it can sometimes work to your benefit to wait things out until a seller’s market evolves. However, waiting too long can also come back to haunt you if the buyer’s market strengthens. This is one of the main reasons it’s so important to work with an experienced and knowledgeable realtor whose advice and expertise you can trust.
We'd Love to Hear from You
Request a Market Activity Report
Find out the value of your home in the real estate market.
Schedule An Appointment
Sell your home with The Tosello Team
Meet Jeff and Heidi
Learn how they found their sold their house and found their dream home at the same time.