May 05, 2016 - 05:12
Finding the cost of a home varies from every home to home even when they are on the same block. The way a realtor prices a home is by looking at the recent sales or active listings of similar homes in the area, once the information is gathered it becomes easier to establish its value. But before we get a realtor involved, let’s go over some details that homeowners can look over before they make the call.
1: Look at recent purchases or listings in your neighborhood. Always make sure they have happened within 3 months or less because the real estate market changes fast. Anything that has happened over 6 months ago will not be good data to base your home on. Also, pay close attention to listing pending, because they are homes close to being bought. These are great homes to base some of your data on, you might not get to know the exact price of your home but it can definitely help.
2: Be objective with your home for a moment, and ask yourself what are the true conditions my home is in. While a similar home on the same block may have sold for 150k fully renovated, your home might have some outdated features that would cause it to sell for much less. Buyers love homes that are newly renovated, so making some minor adjustments in your home can make all the difference. So make sure to look at the conditions your home is in, and take that into consideration when finding a fair price for your home for potential buyers.
3: location is vital when finding a fair price for your home. While a similar home on the same block seems as if they are in the same location; in some instances they are not. That home at the end of the block may be zoned to a different school district, tax district, which will affect a home’s value. So if you see a home similar to yours within the area but the price was sold 20% higher, dig deeper, because the minor differences can create major effects on pricing a home for fair value
4: Another tactic for finding a fair price for your home is going to open houses within your area. There you can learn a lot about what majority of people want in a home and the floor plans of home. What this allows you to do is compare that home to yours, which can also contribute to deciding what number is fair to price your house at for potential buyers.
Deciding on a price for your home does have many complications and can be difficult. However, if done research correctly finding a fair price for your home is possible. Then once you come up with a price you believe is fair, contact us at Tran Realty for extra guidance and assistance.