How much is my house worth?
How an estate agent values a property can seem like a mystery to some, it’s almost like they have a sixth sense, however, it is not that mystical. Estate agents and valuers use a variety of tools to determine the value of a property, but generally they all rely on previous examples of similar properties’ and what they sold for. But can this precedent be a reliable indicator of what a future buyer is willing to pay for home they desire?
These days a home owner may already have an idea in their heads of what their property is worth. Technology savvy home owners turn online to online portals such as Rightmove or nethouseprices to get a rough idea of what has sold in their area and for how much. In fact, this internet search may even be the reason you came across this blog.
This is all well and good and usually there is plenty of recent house sales that show the ups and downs of the local housing market. We have all heard that ‘recently renovated’ house command top dollar (or pound) whereas doer upers are at the bottom end. However, if the last sale price that comes close to the style of house was more than 4-5 years ago and it’s had all sorts of luxury décor, furnishings, extravagate kitchen and bathroom, orangery and even an outside sauna and jacuzzi adding, how on earth can you determine the value?
At the end of the day there are four main questions that buyers will consider when weighing up the value of your home
Can they afford it? Who your house appeals to will determine this. For example a London buyer is likely to be able to afford a higher price than a local, but if the home is unsuitable for a contemporary buyer and needs updating a city slicker may well overlook it and favor a property they can simple move into – no fuss.
How unique is the property? Is it a mishmash of extension upon extension being added to it over the years, so much so you cannot recognize the original house or is it unique because it is a Grade I listed building with outstanding architecture and historical importance?
Does it appeal? Is it the dream family house they have been looking for? Does it tick all of the boxes? A outside sauna and jacuzzi may have not been on the list but it may have closed the sale for you, mum and dad can certainly see themselves in there with a glass of fizz after a hard day at work! They are certainly leading with their hearts here and not their heads.
What does the competition look like? Have they seen anything else that comes close to your home for the same money? What else is on the market for this price? Ask yourself honestly what does the competition look like and is it anything like your home?
So how unique do you think your home is? Are you looking to sell? You may appreciate some of our straight talking, good advice on your home saleability – if this is you, get in touch, we’d love to hear from you.
For the majority of you lovely readers who consider you home more ‘normal’ and who don’t the time to trawl the internet looking at sold prices we have made this easy for you. All you have to do is click on this
answer a few questions and voila as if by magic a price range and rough guide to the value of your home appears.