How to get the value of my home

If you are like many home sellers across metro Detroit and the U.S. you probably have concerns about setting the correct list price for your home.  What is your home really worth?  You probably have heard from the TV shows that setting your home too high can have you ending up with a below market sales price.  So how do you get the value of your home? 

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If you are like most sellers you probably have an inflated home value based on your opinion.  Do not worry that is very common.  If you didn't then I would worry after all you love your home.  You have put hours into making it your own. You have spent money and time improving your home over the years.  Your family gatherings, and memories are there.   You believe you have taken care of your home better than some of the neighbors.  Of course you think your home is worth more than any other home in the neighborhood.   That is the way you should be.

Over the years you have heard of a house down the street that sold for a certain price and you think your house should sell for more because it is "better".  So you maybe have set your "price of your home" based on these neighborhood prices.  What may you have not done is gone through all the pictures of the house, the listing ticket, and truly compared it apples to apples.  Differences in square footage, differences in lot size, number of bathrooms and bedrooms, Basement finished or unfinished, and updates matter.  In fact they can make a huge difference in setting a list price and ultimately the sales prices.

Sellers do not realize that little things can sabotage a sale in todays market.  A house that needs paint or has old flooring can knock $10,000 of the price of the house and cause it not to sell.   Some seller's take that attitude that the new buyer is going to change the carpeting anyway so why do it before listing the house.  That is usually a huge mistake.  Many buyers do not have the extra money to buy new carpet after buying a home.  It is very similar with a home that is well used.  The marks on the walls from the kids or dogs sometimes signals to the buyer that the home is not well taken care of.

So a computer generated value, appraisal, or a zeestimate doesn't always give a true value of a home.  The best way to get an estimate of a home or the market value of a home is to call a real estate agent.  If you are a for sale by owner then you may have to rely on values in the neighborhood.

Remember when comparing apples to apples you need to look at some of the following items:

• Square footage.  Adjust for the difference of the price per square foot based on other sold prices per square foot.   Remember they vary for the quality of the home.  Sometimes buyers will over pay for a very nice updated move in ready home.
• Garage size.  If there is no garage or above average size or a small garage it does affect price
• Basement.  If there is no basement there could be a deduction of up to $10,000 to $20,000 if basements are the norm for your area.  Being a finished basement or a walkout basement adds value to a home  
• Number of bathrooms and bedrooms.  A 2 bedroom home is worth less than a 3 bedroom home.  Remember it is all about appealing to the greatest number of buyers.  So if you have a 2 bedroom house some families will not buy the house because there is no bedroom for their child.
• Lot size  Big lot are worth more
• External factors.  Backing to a business or main road, or having a high tension electrical tower nearby can deflate the value of your home  
• Updates and condition of a home.  Having an updated kitchen or updated baths, or granite, or move in ready condition

So yes you can get an approximate value of your home from a computer, or from here on the internet.  But really delving into the house facts as compared to other recently sold homes in your area will give you the best and most accurate value. 

If you are selling your house in metro Detroit or have a job transfer to SE Michigan give me a call on my cell at (248) 310-6239

Russ Ravary

Your metro Detroit real estate agent

My quote of the day

"Dance. Smile. Giggle. Marvel. TRUST. HOPE. LOVE. WISH. BELIEVE. Most of all, enjoy every moment of the journey, and appreciate where you are at this moment instead of always focusing on how far you have to go."  

Mandy Hale