When you decide to sell your home, one of the first things you may wonder is how much your home is worth. The real estate market is always in a state of flux, so there are several factors that go into how much your home is worth at the time you decide to put it on the market. Here are some of the factors that go into how much your home is worth.
The location of your home will always be one of the major factors that are considered when determining your property value. If a home is in a good neighborhood and near amenities like grocery stores, good schools, shopping, and hospitals, you are likely in a good location. This is something that can really help your resale value on your home.
Previous Sale Prices
The historical sales price is often a baseline that a realtor or appraiser will look at when determining your current resale price. For example, if your home has sold twice in the last three or four years in the $160,000 range, they will likely look at that as a good baseline. They will then make adjustments to the price depending on new factors, like improvements to the home or the neighborhood.
Size And Layout
While people used to want huge houses in general, many people are now trying to downsize their carbon footprint or at least have a house they have time to keep clean.
People are looking for a spacious, open-concept design for their homes, and while they want more bedrooms, they want spacious bedrooms, so turning one big room into two can impact your resale value. Nobody wants a tiny bedroom that just barely fits their bed and dressers.
People love old, historic-looking homes and brand new homes, but homes that are middle-aged, 30-40 years old, are often not as popular with buyers. While this does not mean that your home will definitely be marked down for being in that age bracket, if it has not been recently updated or it has a quirky layout, it may not be worth quite as much.
Home improvement projects and renovations can help increase your property value, especially if you are in a home that may not meet another factor that helps boost your property value. However, it is important to keep in mind that not all home improvement projects will help your property value.
For example, adding a garage or fence to your yard, or finishing the basement or attic can help increase the property value. Whereas, completely remodeling your kitchen right before you put it on the market will not get you the return you are hoping for. Adding a pool is another factor that has the potential to lower your property value unless you are in a neighborhood where everyone has a pool.
Many people romanticize having a great view of the skyline, mountain, river, or whatever landscape may be native to the area the home is in. If you have a great view with windows that overlook it, this will help your resale value.
Todd Wilkinson is the Founder and Owner of FonHome Realty. FonHome is a customer-centric brokerage where our clients are in control and our experienced agents are respected for providing the positive and exciting experience the real estate transaction should be. Todd is an accomplished real estate investor with an undergraduate degree in Financial Economics and a Masters’s degree in Business Administration. Todd has held senior management and executive-level positions with the world’s two largest retailers and a successful startup venture. Todd has served terms on the University of Arkansas Advisory Board and is actively involved with the St. Theresa School in Kenilworth. Todd opened his own brokerage after feeling underserved in his personal experiences with real estate transactions and wanted a firm whose mission was on serving the fiduciary responsibilities guaranteed to the Buyer and Seller. Contact Todd today for a free Comparable Market Analysis for your home or for advice on beginning your search for a new home at www.fonhomerealty.com.