Whether you’re buying or selling a property you want to know how much your house is worth. This may be to ensure you don’t pay over the odds or perhaps you’re hoping to release the equity in your home.
With the average house price in Australia topping $500,000 it’s easy to see why you’d want to know what your house is worth.
The most obvious approach is to contact a few real estate agents and see what prices they supply you with. You should also consider contacting cscerriauctions.com.au who can give you an excellent idea of how much money your house would get if put up for auction.
Unfortunately it is not always easy to get an answer to this question; the value of any property is subjective. There are several factors which need to be taken into consideration:
The Housing Market
The first step is to look at what other houses on the market are selling for; specifically houses that are similar to yours.
There are plenty of online property price checkers that will allow you to see what houses have recently sold for. This is different to the for sale price or the purchase price.
The bottom line, which this technique will illustrate; is that your house is only worth what someone is prepared to pay for it.
The neighborhood you live in affects the value of your property. A grand 4 bedroom house in a bad area will be worth significantly less than the same property in one of the best neighborhoods.
You can’t move your house into another neighborhood but you do need to be aware that it will affect the price. This is why most people try to buy in good neighborhoods or those that are likely to be up and coming.
The value of any house will depend on the facilities it has. In general the more bedrooms you have and if it needs very little or no work then this will equate to a higher price.
But this does assume that the work has been done to a high standard.
It is also essential that you take a look at the current market situation. If property prices are rising then it is likely that your house value will also be rising. This could mean the valuation is different every day; making it exceptionally difficult to provide a valuation for your home.
Use Your Local Real Estate Agent
It is a good idea to contact several real estate agents in order to get a valuation. Hopefully all of these will be in the same range. If they are not you’ll need to take further advice regarding what your home is really worth.
Of course if you’re looking for a mortgage or releasing equity you’ll be at the mercy of your finance company. They will send their own surveyor to verify the value of your property; this may be different to the market value.