When you’re looking for a new home it might be difficult to determine what a house is actually worth before making an offer. As a realtor, my advice is to always do your research and to really use the skills of your realtor to help you make an informed decision before putting an offer in on a home.
Here are some things that anyone can do to help them get a handle on what a home is really worth.
- Rely on your realtor. This one is a bit of a no-brainer and definitely shows my bias, but it’s true. If you’re working with a realtor, this is one of the top benefits of doing so – they have the knowledge, skills and experience to recognize what a home is actually worth. They’ll be able to tell you if the home is overpriced or even if it’s underpriced and you could get the deal of a century! We’ll give you a Comparable Market Analysis and guidance on what’s considered a reasonable price in different areas.
- Property features. Has the home been recently renovated or upgraded? Has it suffered from fire or water damage before? These are all factors that affect the property’s value for better or for worse. Other things that determine what a home is worth are things like the size of the lot, the age of the home, how many bedrooms/bathrooms are inside the home and general condition of the home.
- Neighbourhood features. You’ve heard that location is everything and it’s true. You can expect to pay more for a home in a more prestigious neighbourhood than you would pay for a similar home in a less desirable neighbourhood. Homes that back onto a lake or forest or are situated on a property with lots of privacy are going to be worth more money than a home in a crowded neighbourhood without a nice view.
- Amount of time on market. If a home has been on the market for a long time, it could be a signal that it is overpriced. I suggest speaking with your realtor about the home’s price and see if they can provide you with any additional insight as to why the home is still on the market after more than a month.
- Research online. If you’re still in the preliminary phase of buying a home and are just starting to get a feel for what’s out there, online research can give you a good insight into what a home is worth. You can compare what the home is selling for with what other properties in the same neighbourhood have recently sold for. Keep in mind any market changes that might have recently occurred which could account for any variations in price.
As always, it’s important to trust your gut and find a realtor that you can rely on for the advice you need. Keep in mind that there might be a time when a house is listed for more than it’s worth but it simply checks all your boxes and it’s exactly what you want.
Looking for more information on how to tell what a house is worth? Or are you selling your Cambridge house and wondering what price it should be listed at? I can help with both, simply contact me today for more information.Posted by Greg Dewar on