Two things to consider in valuing a home are, first, how does it compare to similar homes that have sold recently? Is the asking price fair? And second, what value do you place on the advertised features and amenities? Yes, other people might value them highly, but do you?
One of the fastest and easiest ways to find out what your home is worth is to contact Philleen and she will send you a complete market analysis of your home. Or you can start by searching on the “seller’s” page of this website and you will get an instant estimate! It’s that easy.
Philleen’s report will show you how the home is relative to other homes in the area and add in all the things that only someone who has seen the house or is familiar with the neighborhood knows.
Looking at “Comps”
Knowing whether an asking price is fair will be important when you’re ready to make an offer on a house. It will be even more important when your mortgage lender hires an appraiser to determine whether the house is worth the loan you’re after.
Check on with Philleen’s website to see recent sales of homes in the area that are similar, or comparable, to what you’re looking for. Print them out and keep these “comps” in your three-ring binder; you’ll be referring to them quite a bit.
Note that “recent sales” usually means within the last six months. A sales price from a year ago may bear little or no relation to what is going on in your area right now. In fact, some lenders will not accept comps older than three months.
Market activity also determines how easy or difficult it is to find accurate comps. In a “hot” or busy market, with sales happening all the time, you’re likely to have lots of comps to choose from. In a less active market finding reasonable comps becomes harder. And if the home you’re looking at has special design features, finding a comparable property is harder still. It’s also necessary to know what’s going on in a given sub-segment. Maybe large, high-end homes are selling like hotcakes, but owners of smaller houses are staying put, or vice versa.
Remember to contact Philleen for ALL the latest market updates.
