You know how much you paid for your home and how much money you’ve spent on repairs and upgrades. So, when it comes time to selling your home, you may already have a price in mind that you think your home is worth. But before you start dreaming about how you will spend this imaginary profit, it’s important to get a home market evaluation completed by a trusted realtor.
The Importance of a Home Market Evaluation
Home market evaluations not only help sellers with properly pricing their home, but they also assist buyers with purchasing a home. Without proper home market evaluations, it would only be a guessing game when buying or selling real estate.
Factors Involved when Creating a Home Market Evaluation
Using recent market data, a realtor can create a home market evaluation to give an estimated home value. To do so, a thorough database search of all homes listed or sold near the property is conducted to include the following data:
- Active Listings: Because sellers can ask for whatever dollar amount they want, homes currently for sale do not reflect market value until they sell. Active listings are useful if they are direct competition with your home.
- Pending Listings: Since pending listings have not yet closed, the actual sold price is still not available. Pending sales cannot be used as a comparable sale, but can be used to indicate direction of the market.
- Sold Listings: These provide comparable sales and are used to determine market value of other homes.
- Canceled Listings: Although there are many reasons why a home may have been taken off the market, one of the most common reasons is because the asking price was too high.
- Expired Listings: These listings reflect homes that did not sell, which could be the case if the home was overpriced.
Examining Comparable Sales
Using the listings of comparable sales, homes are narrowed down to those that most closely resemble the home you’re trying to purchase or sell. Factors such as location, square footage, age of construction, amenities, upgrades and condition are considered in similar properties to reveal a fair market value for the property in question.
Receive a Free Home Evaluation with Woolcott Realty Inc.!
Over the last couple of years, Hamilton-Burlington’s housing market has seen some record breaking prices when buying or selling a home. In a market such as this, you want to be extra cautious that you don’t overpay for a new property; yet you still want a fair price when you sell your own home.
This can be a tricky balance to obtain. That’s why it’s more important now than ever to have a knowledgeable realtor working with you on your real estate transaction.
Why trust anyone but Woolcott Realty Inc. to provide you with this valuable information? As knowledgeable experts on housing values and trends – especially pertaining to the Hamilton-Burlington real estate market – Woolcott Realty Inc. can help you buy or sell a home at the right price.
Contact us today to receive a free home evaluation, with no cost or obligation!