The value of a house is determined by a combination of factors. Here are a few key ways to figure it out – including a helpful home valuation tool from RE/MAX.
Whether you’re soon to sell your home, or it’s a plan down the road, you’ve likely wondered what your place is worth. As each property is unique, the answer is that the value of a home is determined by a multitude of factors.
Here are a few ways homeowners can gauge the value of their property:
Consider the home’s location
Location can play an important role in determining a property’s value. The hyper-local area – as well as proximity to places like schools, shops, restaurants, parks, public transportation, and more – can affect a home’s desirability and value.
Also, factors like views, abutting structures, and potential sources of noise can come into play. For example, some people see value in having close access to a highway. For others, however, the noise of a nearby highway is a negative.
The prices of comparable homes nearby can help you gauge what your home might fetch. The RE/MAX home valuation tool provides this useful data. The enhanced technology resource on remax.com features intel on recently sold properties in the area, pricing estimates from third-party sources, a local market heat map of buyer activity, and more. It can be helpful to work with a trusted real estate agent in deciphering the differences between pricing estimates and determining what’s best for your place.
Consider a home’s current condition
They say you never get a second chance to make a first impression – and the same is true for your house. Curb appeal, updates, and interior appearance help set a positive tone.
Even prospective buyers who love historic charm will likely still appreciate renovations like a modern-functioning kitchen and squeaky-clean bathrooms, as well as lesser-seen features like an optimized HVAC system for efficient heating and cooling.
Maintenance also plays a big part. Whether a house is old or new, prospective buyers will factor maintenance into their opinion of a home’s appeal. The better maintained a home is, the higher value buyers will likely place on it.
Talk with a trusted real estate agent about potential projects to complete that could add value to your home when it’s time to hit the market. They may suggest things like manicuring the yard, implementing neutral paint colors on walls, staging with furniture and décor pieces that reflect current trends, and more.
Consider local homebuyer demand
What element ultimately has the strongest impact on the price of a home? Local market conditions, and how much demand there is for housing. This is known as market value, and areas with bustling buyer activity generally see homes selling for higher prices than those in less competitive markets.
Cost of living – and, consequently, housing prices – has increased in many places. But time of year can also impact pricing decisions. According to the latest RE/MAX National Housing Report for March 2024, the median sales price of homes was up 5.1% from the same time last year. Heading into spring – a historically busy time in real estate – home sale prices increased for three months straight.
The good news is that real estate agents are local housing experts, and they can provide intel and advice for navigating your home sale in the current market conditions. Guided by experience, your real estate agent can assess all facts and features of your home, coupled with market demand, and help determine the best listing price.
Ready to sell your home? Connect with a local RE/MAX agent today
Article originally appeared on RE/MAX.
