Home valuation: The importance of getting the starting price right

Home valuation The importance of getting the starting price right

When selling a house, one of the keys to finding a buyer willing to pay is to get your retail price right. The volume of people interested in second homes or houses to live in is much lower than that of those interested in flats in the city. If, in itself, there are already fewer opportunities, being able to capture attention with the starting price will be paramount. The home valuation, although not the only factor to sell property, can tip the balance to one side or another.

Prices of second homes

A classic among the classics of yesteryear. The apartment in the city and the house on the beach or the mountain. After the real estate boom this concept was erased from our minds. Many people had to sell their second homes or hand them over to the bank. As a consequence, stocks in stock of houses and flats for sale increased. The population was no longer interested in second homes and therefore, after the economic recovery, the price of apartments and houses did not increase as in the city.

Despite this, even today a quarter of the Spanish population still has a second residence. Many of these owners are interested in selling a home but must accept the current reality. Knowing the point from where you start is basic to make a good home valuation, especially if you want to sell as quickly as possible.

House rating: Geographical and demographic factors

Proximity to the city: A point in favor in the home valuation

There is a geographical factor that can cause the home valuation to vary greatly depending on its location. The proximity to the city is key to be able to increase the sale price of a home or have to resign yourself to selling for little more than what was sold years ago.

Life today revolves around big cities. Work, culture and leisure. Everything takes place in the city. The demand for flats has increased and so have their prices. Finding the comforts of a house in the city is practically impossible. Therefore, those who seek tranquility, but their lives revolve around the city, may be interested in houses for sale in the vicinity. For this reason, the home valuation in towns such as Sant Cugat, Alella, Pozuelo de Alarcón, Valdemarín or Las Rozas has followed an upward trend in recent years.

Consequences of the rural exodus

In a diametrically opposite situation are the houses Property Valuations Sydney located in villages far from the city. The rural exodus is a fact. The vast majority of young people leave the village to make life in the city, leaving an endless number of houses uninhabited and for sale. What were once first residences will probably become 2nd residences. But we have commented before, the home valuation as a second residence, is down. So much so that prices, far from increasing, have even stagnated or reduced.

Bring home valuation closer to appraisal

Apart from the price, a factor that can decant a sale in our favor is the possibility of financing with a mortgage. For second homes, banks usually do not lend more than 60% or 70% of the purchase value. Some can give up to 80% appraisal, but it is not usual. Therefore, it is of vital importance that the appraised value of the property is higher or as similar as possible to the sale. In this way, the buyer will be able to finance as much as the bank allows, without having to contribute more savings from the account.

It is evident, then, that the home valuation must be acurada and realistic. Knowing the market,the prices of the competition and the trend is essential. Therefore, if you want to sell a house, let yourself be advised by the best real estate agents. To start with a good price, is to have half a race won.

How much is my house worth?

Whether you choose to do it on your own or choose a home valuation tool, it is important that you take into account how the price of a home is calculated. There are many determining factors when it comes to setting the price and some make a lot of difference such as location. Let’s see what they are!

  • The location of the property. It is estimated that this factor is 40% of the price of the property and is that it is a fundamental part for the buyer. Not only if it is a good area or if it is well quoted and also how well connected it is. In addition, the buyer’s decision will also be based on personal factors such as proximity to work or if you are looking for an area with more leisure such as Gracia or something more familiar and quiet such as Poblenou.
  • The property. It’s not just the location, it’s also like that positioned inside the building. An attic, which can be worth much more than a first, is not priced the same on a third floor. Here the orientation of the sun will also influence.
  • Characteristics of the property. Both the square meters and the number of rooms are approximately 30% of the price of the property.
  • Condition of the property. Here will enter factors such as recent reforms, year of construction of the building and state in which it is located.
  • Cadastre data. market value of housing, land and construction. Factors such as the cost of construction materials and taxes and even if the building has a historical-artistic character also enter.