How Properties are Evaluated

How Properties are Evaluated

Buying or selling you need to know the value of the property in questions.  That will help you to negotiate a fair price and to make some money on the sale.  While property valuations can vary knowing how properties are evaluated can help you boost the selling price of your own property.  It is also used when you want to finance or refinance your mortgage.  Here is how properties are judged.

  1. Where the property is: The local area you are in and what comparable houses are selling for near you is one of the biggest factors in determining the value of your property.  Properties in a nice urban neighborhood sell higher and faster than property in the countryside.  Are you in an up and coming neighborhood or is it on the decline.
  2. The size of your property: Bigger houses are in most cases worth more but not always.  While the number of square feet matters it also matters how the space is used.  A three bedroom house will almost always sell for more than a two bedroom even if they are the same square feet.  How your home is laid out is just as important as how big it is.
  3. Check out the comps: Comps are just comparable houses in the same area and what their selling price is. If you are selling a three bed, two bath bungalow then you want to look at recent listing and find out what others are listed at and what they sold for.
  4. How does the house show: Presentation is everything when it comes to selling your home and taking the time to make repairs and properly clean and stage your home can make a difference of thousands of dollars.  The first impression is the one that sticks with potential buyers so make sure that you present the best version of your property.
  5. Do you have curb appeal: Most home sellers focus most of their attention on the inside of their home and ignore the exterior.  You can’t afford to do that if you want top dollar for your home.  This is the first thing anyone sees when they pull up to your door.  Mow the grass, weed the garden and trim the shrubbery and keep the exterior of your property well maintained.

These are all things that an estimator or evaluator is going to look at when they are determining what your property is worth.   Can you improve on them and them and increase the value of your home?