If you are considering selling your home, then you likely want to know what its current value is. There are a number of different factors that are considered when determining a home’s value, which can make it difficult to figure out on your own. In today’s post, we’ll take a look at how to determine the value of your home so that you can choose whether now is a good time to put your home on the market.

At Lido Real Estate in Orange County, our agents will work with you to make sure that you get the best possible price for the sale of your home. If you are interested in learning more, then please contact our real estate office today to see what we can do for you.

1. Use Online Valuation Tools

If you performed a simple online search to find out how much your house is worth, you’d likely see dozens of results that feature home value estimators. The technical term for these programs is automated valuation model (AVM). The answer they give you is based on a number of public records, including property transfers, deeds of ownership, and tax assessments, along with several mathematical modeling tools. The problem is that when there isn’t enough information, the models will still generate numbers, which are likely to be less accurate. These may provide a starting point for you to form an idea of what you can ask for your home, but it is always best to speak with a licensed real estate agent to get the most accurate feedback possible.

2. Understand the Meaning of Home Market Value

Many people think they understand what home market value means, but it actually excludes three things that might surprise you:

  • Your Monthly Mortgage Payment
  • Your Opinion of How Great Your Home Is
  • Your Memories of Your Home

While these items might make a great deal of difference to you as the homeowner, they have no impact on the actual value of your home. Instead, home market value refers to what buyers are currently willing to pay for a home such as yours. Some of the very things that make your house a home — little Susie’s handprints in the front sidewalk, the notches on the closet door frame to mark her growth, and the bright pink color that she wanted for her room, are likely to be seen by a potential buyer as things that they will need to fix.

3. Look at Your Home From a Buyer’s Perspective

While it might be difficult to look at your home the way that a buyer would, it’s an important step to help you determine its market value. There are a number of items that most buyers will consider, including:

  • Location – how close your home is to schools, parks, shopping, and highways
  • Safety – the crime rate, condition of the streets, and number of rental properties are all important factors
  • Curb Appeal – your landscape, sidewalk, and front porch make a big impact
  • Square Footage – the flow of your home can help or hinder a sale
  • Number of Rooms – the ratio of bathrooms to bedrooms should be logical
  • Updated Appliances – potential buyers prefer newer appliances
  • School District – the rating of the schools in your area and the number of schools are also important factors.

While there will always be some factors that are out of your control, there are many items that you can improve upon, which will help to increase your home’s value.

4. Look at Comparable Properties

One of the easier ways to determine the value of your home is to look at homes that are similar in size and have similar square footage. By checking out the prices that these homes are either currently listed for or have recently sold for, you can get a better idea of the price that you might be able to list your own home for.

It’s important to be aware that you shouldn’t assume you can list your home for the same price that your next-door neighbor’s home was listed for. Generally speaking, developers do not put homes that have identical layouts right next to each other. This helps to avoid the appearance of cookie-cutter homes. Instead, make sure that you are looking only at homes with similar layouts and square footage to your home.

At Lido Real Estate in Orange County, we are proud to offer top deck service to all of our clients. As one of the largest family owned companies in north Orange County, our priority is to provide the exceptional service that you deserve. We know that you want to find the home that is right for your family, which is why we are here to help. We have been serving clients since 1988, and we would love to help you. Please contact our office today to speak with our team of real estate agents.