Whether you're ready to sell or just curious about how much your home is worth in the current market, figuring out your home's value isn't as easy as looking at the price you paid for it. You can use a virtual home value estimator to understand where your property stands. But it's important to remember that the real estate market is ever-changing, and many factors go into determining what a home is worth. Get an accurate estimate of your home's value from the comfort of your couch! Explore our virtual home value estimator on this website now.
Here are some of the most impactful.
Property Size
Of course, more square footage will influence pricing. Most buyers desire more space. Therefore, larger homes have a higher price tag. But it goes beyond interior measurements. Large properties can increase a home's value per square foot. For example, a home on 10 acres will cost more than a home of the same size on a zero-point lot.
Location
Location is another major factor that significantly increases or decreases a home's overall value. It doesn't matter how great a house is. If it's not in a great area, it'll be worth less than you may expect.
It's all about desirability. People want to be close to great schools and impressive amenities. Therefore, neighborhoods with easy access to all those things typically have a higher value. Other details like crime rates, available parking and access to major travel routes can come into play, too.
Condition
The condition and overall age of the property will also affect value. Well-maintained homes can retain their value over time. Meanwhile, properties that fall into disrepair will require considerable work to meet modern standards. Therefore, they often come with lower values.
It's about more than the structure of the home. That's important, but buyers also care about aesthetics. Outdated finishes typically bring home values down compared to properties that received recent renovations.
Market Conditions
Finally, you must consider market conditions. It doesn't matter how great a home is or where it is. If the area's market is down due to low demand, its value will follow. That's why houses in certain parts of the country fetch significantly higher prices than those in other parts.
It's all about the market's needs: more demand and less inventory result in higher home values for the area. Conversely, low demand and tons of available homes can bring values down. To see where your home stands in the current market, check out a virtual home value estimator.
Read a similar article about home buying problems here at this page.