The home selling process involves substantial expense, time, and energy. You need to carry out all necessary inspections, legal procedures, put a sign in your front lawn, and place an ad in the newspaper or on the web. Before you perform all these activities, you need know the real value of your home and take certain steps in order to attract potential buyers. This will help you to finalize the appropriate sale price of your property that reflects the condition of the property, surrounding area and neighborhood, and attract home buyers to make bids for it.
Real estate appraisal valuations prove instrumental in determining the sale price of a property. Generally, the sale price of a home is determined by considering several points of interest and not simply on how old your home is and current living conditions. Here are some factors that are taken into consideration when carrying out an appraisal of your home and before you delve into the selling process.
- Overall market conditions: It is essential to know whether it is a buyer’s market or seller’s market when you plan to sell your home. Buyer’s market has a greater number of sellers than buyers so buyers obtain several benefits when purchasing a property. Numerous homes will be available and prices will be competitive. On the contrary, seller’s market is more beneficial for the sellers since fewer homes will be available for sale in the market and a seller has greater leverage to negotiate the real estate deal at a higher value to several buyers bidding for the property.
- Location: The location of a home plays a crucial role when it comes to selling property. Homes coming in a desirable, low-crime area and in the proximity to markets, hospitals, schools, and pleasant areas like oceans or in the mountains will be more in demand than other homes. Expert and efficient residential real estate appraisers consider all these factors when determining its fair and accurate price.
- Design of the home: Some homes exhibit old-fashion designs while some exhibit modern designs and developments. Is your home an age-old split-level residence or divided into sub-divisions comprising single-family homes? Does your home exhibit a style that appeal to today’s home buyers? Is its color scheme fascinating? Construction style, fashion, and home interiors play a vital role in determining the current market value of a home. So make sure that your home appears attractive when you plan to sell it.
- Quality of construction: The foundation of your home has a major role in determining its value and demand. Is your home made out of concrete, brick, or wood? Homes developed using concrete feature a higher price and are prefered by the buyers. Also, the quality of construction is considered during the selling process. Is the roof durable and sturdy? Are there any leaks? An appraiser will note the potential sturdiness of your home when determining its value.
- Age and overall condition of your home: When determining values of certain homes that fall in historic areas, their age may be an advantage to obtaining a high sales price. A homeowner of a hundred year old mason may attract numerous home buyers, who are interested in purchasing a vintage property. As a result, this kind of home will have a higher sales price. At the same time, you need to ensure that you maintain your age-old home well since an appraiser will note faults, wear and tear, and the overall condition of your vintage home when appraising it.
- Number of rooms: There is great significance attached to the number of rooms, bathrooms, and other areas that prevail in your home. How much space is designated for recreation and living in your home? Does your home have an all-purpose room? Home buyers having large families prefer to get a spacious home with greater number of rooms while retired crowds prefer to obtain smaller homes. Depending on what you have to offer the potential home buyer determines the sale price of your home.
- Area of the house: Home buyers prefer to consider segregation of the square footage of your residence, like how much is covered by usable, living space as compared to the space covered in the construction. Today, people prefer to have spacious homes and are willing to pay a good price for homes with greater square footage.
- Storage space: The presence of storage space adds to the value of your home. If your home includes a basement, attic, or both, it adds to the sale price of the house. How much cozy space does your attic and basement comprise, number of rooms they are divided into, and the size of your closet space are some more aspects that are considered by the real estate appraisers when appraising your home.
- Heating, cooling and other modern amenities: How your home is cooled and heated can be a vital factor in determining the value of your home. If your home possesses heating and cooling amenities, it adds to the sale price of your home. If your house has central air to keep it cool, it is an advantageous factor. Similarly, if your home is heated by an electric heater, it increases its appraisal value. Even a swimming pool attached to a residence adds to its value. Also, modern amenities such as the presence of an elevator for aged residents, a high-tech security system, presence of skylights in the home, and various other luxurious aspects help you to have a higher appraisal value.
- Parking: Does your home have a garage attached to it? Does it have a carport to protect vehicles from hostile conditions? If your house comes in an urban area and has its own parking space, it adds to its value. Also, the number of cars your parking space can hold is considered when determining price of your home.
These are ten crucial factors that are instrumental in determining the appraisal value of your home in order to help you obtain a substantial price when selling it.