There is no doubt that real estate is a profitable as well as fruitful asset in someone’s investment portfolio. On the other hand, the property is an asset that can offer you the best return that will be much higher than the current inflation rate. Selling your old house and shifting to a new one is an essential event in your life.
But How much is my house worth? Well, to ensure the best deal in this, the first thing that you need to know the real worth of your property and the factor that can affect the value negatively and positively. From planned infrastructure to location, aesthetic, size, and facility, there is a lot of factors that can affect your house’s worth. Keep reading to know about the significant factors.
You can ask any real estate experts about the most crucial factor that can affect your house’s value, and they will all say one thing, i.e., location. Remember that your house’s proximity to all the things, from local highways to local amenities, all can dramatically affect the worth of your house. In general, the house’s proximity to tourist destinations, public transportation options, and city centers also determine the location’s popularity. On the other hand, the housing market of the city can also affect the value.
The current condition of your house
All the potential buyers will consider the condition of your house. If your house is in immaculate condition, then it will sell for a higher value than the house with poor condition. If the buyer is an experienced person, then he/she will pay attention to all the things, including repair required, for example, windows, doors, plumbing, ceilings, and more. So, if your house has any cracks, then fix them before listing your property for sale. You can search for Tips to fix Floor Cracks and Stains to get some low-cost ideas to fix them. On the other hand, the age of the property can be a crucial factor. The newer the house, the more buyers will be willing to buy it.
The usable space and size of the home
In general, the market value of your house will be mentioned in price per square foot. This is the total sales price divided they the square footage of the property. For example, if the selling price of a 1,500 square foot home is USD 300,00, then USD 200 is the price for a square foot. Furthermore, the value of your house will also be ascertained by considering its usable space. Attics, unfinished basements, garages are generally don’t come under the usable space. If you have more usable space, then get ready to enjoy a better deal.
Updates and upgrades
Home renovation, updates, and upgrades can dramatically increase your house’s worth. These things can be useful for older properties with outdated features. For the biggest effect, you can go for bathroom or kitchen renovation. Besides, you can increase the bedrooms. Furthermore, sprucing up the garden can also increase the value by around 20 to 30 percent.
Property’s paperwork and approvals
Another major factor that can decide the house value is the paperwork. Have you received all your approvals? Do you have all the required licenses? Some documents, such as clearances, sale deeds, a title deed, property tax receipts, builder certificates, are essential things in the property evaluation. After all, no one will like to buy a house that has pending paperwork.
Real estate comps
If you want to know the nearly accurate value of your house, then you should check the sale prices of the real estate comps that were sold recently in your area. You can compare the property in terms of:
- Number of bedrooms and bathrooms
- Square footage
- Type of home (multi-family home, single-family homes apartment or condos)
- Year built
It is quite important to understand the worth of the property before selling or buying. If you don’t know how to do it, take the help of a professional now.