Your home is not only a place to live in but also an investment that can provide the joy of increased value as you spend time and money updating it. However, many homeowners may not be aware of the actual value of their home; an important factor to consider as you make future decisions for you and your family. Thankfully, you have a lot of tools at your disposal to answer that question!
What Factors Into the Value of my Home?
- Location, Location, Location – The location may be the biggest factor. A home located on the quiet and peaceful waterfront is going to be worth a lot more than the home next to the noisy train tracks, even if those two properties are the same size. Prospective homeowners look at factors like good school districts, public transit, nearby shopping and entertainment to make sure they have options when it comes to their new home
- Recent Sales in the Surrounding Area – You can get a good idea for what your home would sell for by taking a look at what similar homes in your area have been selling for. It’s best to look at homes that have similar defining features to your home like the number of bedrooms and bathrooms.
- Want to see what homes in your neighborhood are selling for? Use our FREE Home Valuation tool to find out!
- Home Characteristics & Features – Most obvious, factors like the size of your home, amount of bedrooms and bathrooms, and square footage play heavily into the value of your home. Price estimates are often based on the square footage of your home so it’s important to make sure you have an accurate depiction of your home’s livable square footage.
- Age – A home’s age also plays a huge factor in determining the estimated value of your home. Older homes are more likely to have structural issues and old electrical and plumbing can be huge turn offs for potential buyers.
- Upgrades You’ve Made – Upgrades you’ve made to your home are a great way to add property value; so long as the upgrades you made are good. More efficient heating and cooling systems, modern security systems, and energy-saving windows are just a few examples of upgrades that help add value.
- The Current Market – Are you currently in a buyer’s market, when homes for sale outnumber the number of homebuyers, or are you in a seller’s market, when the number of homebuyers outweighs the number of homes available? Understanding the current market can help you determine if now is a good time to sell.
- Do you live in the Greater West Michigan area? We’d be happy to talk to you about the current market to help you determine if now is the right time to sell.
How Can I Determine the Value of my Home?
If you’re serious about selling your home, you’d want to make sure it’s priced properly. This is usually accomplished by one or more of the following methods:
- Appraised Value – A licensed appraiser can help you determine the value of your home. They’ll factor in different variables like the size of your home and the upgrades you’ve made to come up with an accurate price. This type of valuation is common when someone is looking to obtain or refinance a mortgage.
- Assessed Value – This is usually accomplished by a local tax assessor. Assessed value is used to determine how much a homeowner has to pay in local, county, and state taxes. Your home is compared to other nearby homes and their valuations, as well a community’s overall location, the upgrades you’ve made, and other things.
- Fair Market Value – This method compares your home to nearby properties that are similar to yours, based on things like square footage, number of bedrooms and bathrooms, and location.
- You can find your Fair Market Value by using our FREE Home Valuation Tool.
Pricing is only part of the battle. After getting your home appraised, it’s important to make sure you have the right agent in your corner to get your home sold for the price that you want. Marketing, the right upgrades to make, negotiating with buyers, are just a few of the processes that the right agent can help you with.
Thankfully, the Lucas Howard Group is made up of West Michigan’s best realtors and with our Home Sold Guarantee, you won’t ever have to worry if your home will sell.
Give us a call today to see how we can help you determine the value of your home and get it sold!
616.893.6478