Factors that Determine Your Home’s Value

If you are thinking about selling your home, whether to upsize, downsize, or move to a different part of the country, one of the most pressing questions you may be pondering is how much you should ask for your home. There is no specific formula to determine a home’s value. Rather, there are a number of important factors that real estate agents and appraisers evaluate to assess the value of your home.

Location

The single most important factor that determines the value of your home is its location. In fact, if you were to move the exact same home from an undesirable location to a desirable one, the value could multiply many fold. Your home’s school district plays a tremendous role in its value. Many homebuyers with children will only consider buying a home in a top-ranked school district, even if that means buying a smaller home than they could afford in a lower ranked school district. Here in South Florida, owning a home in close proximity to the beach can greatly impact its value.  Similarly, being located on a quiet street close to shopping, entertainment, and parks can increase your home’s value as well.

Size

As homes increase in size, they also increase in value. Comparing the square footage of various homes is one method that real estate agents use to price your home. Specifically, they research the recent sales prices for homes in your neighborhood that are the same size as yours and determine the price per square foot. Then, they use this as a key metric in pricing your home. Many online home pricing tools rely heavily on this metric as well.

Condition

Is your home up-to-date with the latest decorating trends or does it feature a 1980s floral overload and glass block walls? How old are your kitchen appliances and your roof? Many buyers want a home that is move-in-ready and are willing to pay top dollar for it. Sometimes, quick and easy fixes, like fresh paint can add thousands of dollars of value to your home. Before embarking on any renovations, consult with a real estate agent to determine which renovations will give you the biggest return on your investment.

Age

While some home buyers are specifically seeking antique homes, most prefer new homes. These homes tend to need less repairs than older ones and are often in better condition, making them more desirable for home buyers.

History

If your home has an interesting history, that can either be a selling point or detract from its value. For example, if a celebrity grew up in your home, that can increase its value. In contrast, if a murder was committed in your home, that would decrease it.

The best way to determine your home’s value is to have a real estate agent conduct a formal evaluation. Once you know the value of your home and have decided to sell it, contact Choice Mortgage Group to discuss how we can help you finance your next dream home.

Since 1995, Choice Mortgage Group has been providing homeowners with the best real estate financing programs available. As a licensed lender, we offer a wide variety of services and programs that satisfy the unique needs of each of our clients.

Specializing in residential mortgage lending for over 25 years, our programs include conventional and government lending, purchases, and refinances. We also offer portfolio lending for self-employed borrowers and borrowers with complicated tax situations. South Florida is where Choice Mortgage Group started, and we like to call it home. We are devoted Florida Atlantic University Owls fans and are proud to be the official mortgage lender of FAU Athletics. We also support numerous other local organizations. For more information about Choice Mortgage Group, visit www.choicemortgage.com.

Choice Mortgage Group

2424 N Federal Hwy, Suite 100

Boca Raton, FL 33431

(561) 395-6900

info@choicemortgage.com