Direct: 250-477-9947 | Email: Valerie@ValerieEdwards.com
If you are looking for an accurate estimate of the market value of your home, receiving on-line evaluations are almost useless! Let me explain why. Have you ever seen two homes that were identical? Probably not. Even condos with identical layouts may differ in whether they face north, east, or south. The amount of sunlight coming into a condo can be a huge factor for buyers. The floor level and of course upgrades to kitchens and bathrooms and flooring also affect their value. If that's true for condos in the same building, imagine the myriad of differences that exist in single family dwellings. They all have a bearing on your market value. Unless these differences are seen and experienced as a whole (including adjacent neighbor's properties), it is not likely that a few descriptive comments via the internet will enable anyone to give you an accurate estimate of market value.
Below are some things you should know about determining Market Value.
Definition of Market Value: What buyers are willing and able to pay for a specific property at a specific time. The market is constantly changing with every home that sells and every new buyer that comes into the market. Only a very recent market evaluation should be used in determining a selling price, prior to placing your home on the market.
Who sets Market Value? Buyers
How is Market Value determined prior to a sale? By using data collected daily through the MLS, Realtors® evaluate similar properties that have sold, have pending offers, and are for sale. They also will be aware of factors in the current market which may affect future sales.
What criteria are used to determine if a property is similar to yours?
This list is by no means exhaustive but some of the more important criteria considered are: location, accommodation (number of bedrooms, bathrooms, suites, and other rooms such as a den, workshop, and family room), layout, finished square feet, condition of property, upgrades/renovations/additions, age of property, potential for: suites, subdivisions, rezoning; outbuildings, lot square feet, views, neighborhood considerations, proximity to schools, bus routes, shopping, and any other features which would affect market value. Strata properties have a whole range of additional criteria to evaluate such as: which floor the suite is found on, age of the building, pet, age, and rental restricitons, building amenities, by-laws, contingency funds, and depreciation report findings.
Just as there are no two identical homes, there are no two identical buyers or sellers. One buyer may be willing and able to pay more for a house than another. Some might be under a time constraint and must buy a house quickly while others may have no outside factor driving them to purchase and will take their time to find just the right property.
The same goes for sellers. One seller may need a quick sale at the expense of the highest price. Another seller may have lots of time to wait for the highest price possible. Most want the highest price in the shortest period of time. The needs of the seller will determine pricing strategies.
Timing and what's on the market, who's in the market and what outside forces are effecting the market are also important elements to consider. Spring and fall are the most active times for people to buy and sell. During these times sellers have more competition but there are more buyers in the market. On the other hand, during the slower times, a seller has less competition. Speaking of competition, a property next door that's seriously overpriced makes your well-priced property look good. Or another property owner might be desparate to sell and slash their price to get a quick sale, making it a greater challenge for you to get a normal price. Every home sold and every buyer coming into the market, every mortgage rate change or global situation, makes the real estate market an everchanging entity.
How your property is marketed is also a key factor. Is your property effectively staged for buyers? Are the pictures professionally done? Is a floor-plan available? Is it marketed on a variety of websites? Does the Realtor® have a good reputation in the industry encouraging other Realtors® to show your property? Are you offering a competitive commission to buyer agents? Does your Realtor® use the Canadian Home Renovation Plan, Home Equity Plan, and text capture sytems to attract and capture buyer leads?
Let me help you determine the value of your home by inviting me for a quick viewing of your property so that when I do a Comparative Market Analysis (CMA), the results will be realistic and as accurate as possible. This analysis will give you a better idea of your property's current market value, one of the first - and essential! - steps as you prepare to sell your home. When I return with the results, I can advise you on the things that you could do that will improve the value of your home. So give me a call or use the form below to contact me. All it takes is a few moments to complete and submit. I'll contact you shortly to set up a time that's mutually convenient.