Confused About Your Home’s Value? Find Out With These 3 Ways
Short of a professional appraisal, there are several ways to estimate what a home may be worth. The challenge is that value can shift based on changing market conditions, including interest rates, the number of homes available for sale, and buyer demand. So with all those moving pieces, how do you determine the right price for your home?
When determining value, a home’s structure, condition, and major systems are important factors in an appraisal. But some features buyers may love don’t necessarily increase the appraised value. A built-in bookcase, a cozy reading nook in a bay window, or beautiful draperies included with the sale might make the home more appealing to buyers. That increased appeal could lead to stronger demand and even a higher offer, but those features may still have little or no effect on the appraised value.
As a professional real estate agent, part of my job is to stay informed about these changing factors and use them to help determine an appropriate asking price for your home. My website can provide some useful information automatically, but there are three different ways we can arrive at a suggested listing price:
- AUTOMATED HOME PRICE VALUATION
Also known as an AVM (Automated Valuation Method), this approach uses statistical models and aggregated nationwide data to provide an estimated property value.
To receive your free, no-obligation estimate, click the “Instant Home Estimate” link above and enter the property address and any other requested information. You can also compare estimates from sites such as Redfin, Zillow, Chase, or Realtor.com. Just remember that online estimates have limitations. Some may run high, while others may rely on data that isn’t completely current. For a more property-specific estimate short of a full appraisal, a Comparative Market Analysis (CMA) is generally much more useful, and I can provide one for you at no obligation.
- DETAILED MARKET REPORT
Online estimates can give you a starting point, but they don’t always tell you what’s happening in your local market right now. If inventory is low and buyer demand is strong, your home’s potential value may be higher. If there are many competing properties and fewer buyers, the opposite may be true. A market report can help put those numbers into context by looking at average sale prices, days on market, list-to-sale price ratios, and other important trends. To receive a free Market Report for your area, click the “Area Market Report” link above, or reach out directly to me.
- COMPARATIVE MARKET ANALYSIS
The first two methods are quick and convenient, but they still provide fairly broad estimates. For a closer look at what your specific property may be worth, I recommend a Comparative Market Analysis (CMA). A CMA considers MLS data for active and recently sold properties along with your home’s square footage, age, features, location, neighborhood demand, and other important factors. I then combine that information with current market conditions to develop a more realistic estimate of what your home may bring in today’s market.
To understand why this analysis can be so valuable, take a look at “How A CMA Can Make You Money On The Sale of Your Home“. With a CMA, I can help you arrive at a price designed to appeal to today’s buyers while still working toward the strongest possible sale price. To request one, just click the “Complimentary CMA” button above.
No matter which valuation method you use, the market ultimately has the final say. Buyers determine what they’re willing to pay, and the more appealing your home is to them, the stronger your position may be. I can help you estimate your home’s value using established methods and current market information, and I can also suggest ways to make your property more attractive to potential buyers. Just ask me how!