There
are many factors that can affect the market value of your property,
ranging from home improvements to the mood of the seller. All of this is
a lot to internalize, but you can make an informed decision while
pricing your home if you tackle these issues one at a time.
1. Location
Your home’s proximity to public
transportation, train stations, shopping facilities, schools, etc.,
plays an import factor in determining your property’s market value.
Every area has a high end and a low end. The market value of your
property is affected by that reality. People that purchase homes in
“lower end” areas expect to pay less than they would if they bought the
same home in a “higher end” neighbourhood.
2. Features
One of the key factors in your
home’s value is the features it provides. For example, some house styles
are more popular with buyers than others. The age and size of your home
compared to other available properties also plays a part in affecting
your home’s value.
3. Condition
Potential buyers will take into
account the condition of your home in deciding if they want to buy it
and how much they are willing to pay for it. A home in immaculate
condition has a much higher potential for a top dollar sale than one
that is lacking the most basic routine maintenance.
Experienced buyers look for important conditions like paints, floor
coverings, walls, ceilings, floors, doors and windows. Buyers may also
pay close attention to the plumbing, electricity work, repairs,
bathrooms, kitchen, and so on.
4. Home Improvements
Most people think that home
improvements are a sure way to increase the value of a home. Major home
improvements are unquestionably important factors that affect the
property value. Improvements like room additions, bedrooms, bathrooms,
kitchens and other items like floor tiles, swimming pools, etc., can
increase the value of your home. However, it only matters what those
improvements are worth to the buyer.
5. Market Conditions
When the market is flooded
with similar properties for sale and real estate buyers are scarce, you
can expect to sell your home for less than you would if there was a
shortage of supply and lots of eager potential homebuyers.
6. Seller Motivation
Seller motivation is also a
major factor which affects the offer price made by the buyer. For
example, if you bought a home in a new area you may be willing to accept
a lower price to quickly complete the sale of your current home.
7. Marketing
The marketing plan that your agent
executes on your behalf will determine the amount of interest that is
shown in your property. Your agent’s level of skill and expertise in the
negotiating process will affect the amount of money you’ll be able to
get for your home. Many people put more thought into what they’ll have
for dinner tonight than who they will trust to market their most
valuable asset. Don’t make the same mistake.