How To Determine the Market Value of a Property Before Selling



Key Insights to Identify the Market Value of a Property

When it comes to selling your home, several factors come into play – market conditions, property valuations, suburb median pricing and much more. Working with a trusted real estate agent will help you determine the market value of a property before selling. Here are some things to consider.

 

Current Market Conditions

The current state of the market can also impact the value of your property, which is why good timing is so important. For example, in a buyer’s market with more properties on sale, excess supply can affect your property price. In a seller’s market, your property price may be higher with more buyers looking at homes. Your agent will help you consider current market conditions before putting your property up for sale.

 

Market And Suburb Data

Local market and suburb data can also help you establish the true value of your property. Suburb data includes prices of similar properties sold in the area, land costs and property age. Other factors within the suburb that could affect property value may include proximity to shops and public transport. For example, a property within a few minutes of a train station could fetch a higher value than a property of the same size further away – even though both properties sit in the same suburb. Accessing this data will help you make informed selling decisions for your property.

 

Property Valuation Reports

Your real estate agent can help you determine the market value of a property by getting an independent assessor for the home. A licensed valuer will consider everything from market conditions to comparable property sales to suburb valuations to land size to bedroom size to quality of the build. These reports will help you make good decisions when it comes to determining a selling price.

 

Current Interest Rates From Lenders

Many sellers overlook this factor, but it can easily influence your property value. Any interest rate increases from lenders would put pressure on mortgage repayments. This means that potential buyers will find it harder to qualify for home loans.  Eventually, this will push down your property value because of low buyer demand. On the other hand, low-interest rates could create greater demand and increase your property value. It’s important to consider current interest rates before selling your property.

 

Type Of Property Being Sold

The type of property being sold could also impact value. For instance, newer properties – even ones smaller in size – may cost more than older properties in the same suburb. Freestanding homes usually command a higher value than townhouses and units in the same suburb, even with similar-sized interiors. This is because of the land value of freestanding homes. Property size and interior amenities can also impact the market value of a property.

 

Determining the market value of a property isn’t as simple as you may have originally thought, especially with several factors involved. Let an experienced agent like Murray Property help you get the price you deserve when selling your property.