Five Factors Used To Determine The Value Of Your Home

10 June 2015
 Categories: Real Estate, Blog

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Before putting your home on the market, it is important to get it appraised so that you can get as much money for it as possible. When you get your home appraised, it is important to know what factors the appraiser uses to determine the value of your home. Once you know what the appraiser is looking for, you'll know what you can realistically change to increase your home's value.

Comparable Homes in the Area

The appraiser will take the time to find out what other homes in the area have sold for recently. He or she will look at homes that are located near your home, are relatively the same size, and in nearly the same condition. This will help the appraiser determine what price the house could theoretically sell for on the open market.

Condition of the Home

Most remodeling jobs add value to a home if they are done properly. If you remodeled a portion of your home on your own and have never had it inspected, it could decrease the value of your home since the appraiser cannot verify that everything was done properly. Be sure that you have your home inspected before the appraiser comes so that you can show proof of your home's condition.

Amount of Landscaping

The amount of landscaping that comes with the home directly affects its value. In some instances, land that has a water feature on it, lots of trees, or a nice fenced-in property is worth far more money than homes that have just an acre or two that comes with the home.

Safety of the Area

The safety of the area affects the value of the property in many ways. If a home is located in an area that is subject to tornadoes or hurricanes, it may not be as valuable as a home that is located in an area that never sees any major disasters. Likewise, homes that are located in areas that have high crime rates will not be as valuable as homes that are located in areas where little crime takes place. While you cannot improve natural disasters or the crime rate, you can change the safety factor by making your home more secure. For instance, installing things like storm windows and security systems will improve the appraisal value.

Educational System

The quality of the educational system for a home is important, as well. An appraiser knows that homeowners want to send their children to the best schools that they can. If the home is located in an area where the school system excels and has the highest ratings possible, the appraisal for the house will be much higher than a home located in a neighborhood with a poor educational system.

Once you get an appraisal on the home, you will know how much to ask for it when you put it on the market. There are times when you have to accept less than the appraisal value for the home, if you need to sell the home quickly though. It's best to talk with a professional, like Accumark Appraisals Ltd., to see how you can improve your home's value.