Asking yourself ‘how much is my home worth?’
It’s easier to find out the answer than you might think…
Just a few years ago it was only estate agents who could claim to know how much a home might be worth, citing their ‘little black books’ of local knowledge and years of experience.
But the house valuation game has become increasingly digital since 2012 after which the Land Registry began publishing the sale prices all of homes online. A wide range of services subsequently sprang up to help homeowners work out the likely value of their bricks and mortar.
This is great news for those moving home!
Why do I need to value my house?
Most people who sell their home choose local estate agents to provide an estimate of its likely final sales value so they can choose which one. This is a vital step when following a guide to selling a house.
If you’ve already done your own research, it will be easier to gauge which agent is being the most realistic. Try to have a rough estimate in your head. This will give you a good idea of how much your house is worth.
Remember – some agents deliberately increase their property valuation in order to win an instruction, knowing that they may later have to reduce its asking price.
What’s my home worth?
Decided you want to sell your home?
Look for similar homes for sale
A property’s value is dependent on many different factors, including:
- Number of bedrooms
- Size of garden
- Number of bathrooms
- Transport links
Write down these key features and then use them to look for sold house prices in your area that match. The upper and lower prices will show you the range yours is likely to be in.
Work out what makes yours special
There’s plenty to consider when buying and selling a property.
But, there’s a general rule that within overheated housing markets buyers will overpay for a property to secure their ideal location and are less picky about features.
But, during difficult times when there’s plenty of choice, being ‘best in class’ in an area will create the highest house valuation for your home.
Work out makes yours ‘best in class’. It could be that your bedrooms are the largest, or that you’ve recently upgraded the kitchen, or that yours has the only south-facing garden within its price range. The more you can do this, the higher up the valuation range your home is likely to be.
Get a ballpark figure
Using all your calculations gathered together so far, write down your best guess at an initial value range. This will include using your home’s most recent sales price (i.e. what you paid for it), the value of very similar homes sold in the area recently and the asking prices of any comparable properties on the market nearby.
Narrow this down
Now it’s time to test your best estimate against the many online house valuation tools and services around to see if they agree with you.
There are dozens of ‘free’ valuation tools available online and in most cases, they are offered by estate agents. Many of them will ask you to supply your personal contact details in return for a valuation, so bear in mind this may mean they will contact you to try and win your instruction to sell.
There are some instant online property valuation services.
Get someone else to do it
Phil Spencer’s property report will include an estimated valuation a home. This is based on other house prices in the surrounding area.
If you’re buying at the same time, it also contains vital location-specific details, such as crime rates.
Get your property report today!