Appraisals are used to estimate your home based on current market conditions. Appraisals are needed by mortgage lenders require an estimate that a loan does not exceed the value of a home, either for purchase or refinancing. Although you can not appraise or evaluate your home for loan purposes, you still carry out activities similar to those of a professional appraiser so as to get an idea of the current market value. Below are some of the ways you can appraise your home by yourself.
#1: No more about your house
Before you compare your home with other homes in that area to determine its market value, you need to collect more information about your home. This includes the size of the house, size of the land, and the number of rooms. Do not count only the number of rooms, but properly differentiate them in terms of the number of rooms and bathrooms that need to be compared exactly. In addition, collect information on other characteristics of the house, such as a gazebo, a swimming pool, or a hot tub. After all, make a sincere assessment of the condition of the house. Is it a top-of-the-line fixed, ready-to-go, or updated, and ready-to-use home? You can also use a good appraisal service provider to help you in appraising your home if things get to the worst. Such companies like IMMEXPERTS could, as a result of their large experience on home appraisal, help you out with this task.
#2: Gather both recent and current home sales
The real estate sector is sensitive to various market and economic conditions. And so, you need the recent sales activity and the latest home market values in order to have a good idea of the value of your home. Ideally, you can find three home sales and three homes that have been sold in the last six months, which can be compared to yours. Most of this information is made available online on certain real estate listing sites. Houses must be similar in size and condition on a comparable basis and must be in the same neighborhood as your home. Collect this information and save your sales price in the spreadsheet. Use the selling price and square foot information to get an average cost per square meter for home.
#3: Compare to determine values.
Arrive at the value of your home based on the average cost per square meter of similar houses. For instance, if your home is 1,500 square meters, and the average cost of houses you use to compare is $ 650 per square meter, your budget for housing is $9,000. Then use comparable houses to adjust the price. For instance, a comparison of a four-bedroom house to your three can reduce the cost by $10,000. The bathroom can increase the value by at least $5,000, much more if it’s part of the main set or If your house condition is poor, the value could be reduced by 10, 20 or 30%.