Establishing a correct value for your property is a really important factor for the successful sale of your property. In this article we will talk about some elements that will help you to set the price your home deserves and sell your property quickly and without complications.
6 Factors that determine the value of a home
- The relationship between value and condition of the property
At the time of fixing a price it is essential to know in what state is our house: if it is of new work, if it is to reform, if it has all the facilities and that they work correctly, and if it has elements or equipment that can facilitate the rise of the price… This point is really important to calculate the correct price of sale of a house.
Recommended reading: 5 ways to increase the value of your home
- The subjective value of your home
We are all in love with our homes, and when we have to put a price on it, we always have that feeling that makes us unconsciously put a high price on our home. We know that a house is full of memories and in most cases it has cost a lot to get it economically, but all this is not valid for this market, for the real estate sector.
As sellers, we have to stop and think about how the market is in the area and what a buyer interested in your home would be willing to pay.
- The buyer
Buyers are quite informed people who have probably spent a lot of time analyzing the market, the area…
But, although these buyers are experts, there are many types of buyers and each one of them has different interests and tastes. So, don’t worry, your home may have elements or features that are essential for that buyer.
- The market
According to the Sociedad de Tasación, «the market value is the price at which the property could be sold by private contract between a willing seller and an independent buyer on the date of the appraisal.
The market value is a starting point for pricing your home. With this data you will be able to set a fair price for your property so that it sells quickly and easily.
From Maonlof, to make this valuation, we use the data from the Registry, the database of properties with similar characteristics in the different real estate portals and the data of the last sales made in the area. In this way, we know what the market value of your own home really is.
- Location
There are areas that are more in demand than others, such as large cities and coastal areas. For that reason, the houses that are in these privileged areas have an increase in the sale price reflected in the market value. The market is like this, these areas are more attractive than others, and for that reason the prices in these places are usually a little higher.
- Last step, the final price
We already know some of the elements that define the price of a house, but we are missing the last step: defining the final sale price. To do this, we will analyze all the results and we will list all those elements that make our house a special house for which we will pay more: a large terrace, a garage, a swimming pool or a barbecue in the garden.
In this way, we will establish a price for the sale of our house, which cannot be much higher than the market value. Perhaps this price will not be the final sale price, since in this process there is the so-called «negotiation», in which you will have to be astute.
But, in short, the sale price will always be in that margin, between the market value and the final price published in the ads of your home.
For any other clarification or query regarding our appraisal services do not hesitate to contact us.
