Determining Your Home’s Value
Determining your home’s value is where the expertise and experience of a real estate professional really becomes important.
There are a myriad of factors to consider and not all of them are easy to identify. They range from the tried and true adage of location, location, location to the small and seemingly insignificant details, which often turn out to be quite significant. I once had a listing in a 55+ community. There were three other homes for sale and we priced the home higher than all the others, why? Because the other homes had four steps to the front door and the seller’s home only had one. In a community of older folks this made a big difference. Yes, we did get ours sold for list price and sooner than the others too! The most common factors are square footage of the home, the number of bedrooms, number of baths, size if the lot, these will all come into play. The landscaping and interior finishes must also be considered. Where your real estate professionals’ knowledge and experience really become important is determining what value of that fourth bedroom. Is it going to get the seller a higher price? Or is it just going to make it easier to sell the home.
The best predictor of value is the sale price of similar homes in the area. The tool we use to determine a home’s value is called a Comparative Market Analysis or CMA. The CMA outlines the homes that have sold in your area and shows the adjustments for the differences. It will also help to pin point the best listing price. Remember however, rarely are two homes the same and therefore having the expertise of a realtor is critical.
If it’s time to sell, give me a call and I’ll be happy to do a CMA customized to your home.