Steve Koerber's Old Blog

Remuera's house sold name since 1998 – 021864166

How much is my house worth?

Posted by Steve Koerber on December 8, 2007

How much is my house worth?….if only I had a dollar for every time I was asked that question.  Other pricing statements that real estate salespeople hear from potential sellers include:  “You’re the expert, you should know”.  “I just want an idea”.  “What do you think?”.    

Unfortunately pricing a home is not that simple and everyone has an opinion.  It is even harder in streets where houses are quite different in size and style. 

Buyer’s price opinions are often low, sellers high.  Agents can be low and high or spot on.  Valuers the same.  So how do you find out the value of your home?

There’s a big difference between the two terms ‘real value’ and ‘likely value’.  Real value is determined when you sell.  Likely value is a guess, before you sell. 

If you must know your ‘likely value’ the best advice I can offer is to do some research on recent sale prices of similar homes in your immediate vicinity.  Add a fudge factor to take ‘current market conditions’ into account, and you’ll have ‘an idea’.

Recently a home sold that had been appraised by an agent at $700,000.  It sold for $990,000.  Another appraised at $570,000 sold for $514,000.  Another appraised in the $800,000s sold for $1,045,000.  Another valued at $1,400,000 sold for $1,175,000.  Another appraised at $2,400,000 sold for $1,900,000.  Another valued at $465,000 sold for $560,000.

Get my point?  Appraisals and valuations can and will often be off the mark.  Pay lip service to them. 

If you’re selling, make sure you employ an outstanding real estate salesperson.  It will maximise your chances of achieving an outstanding result. 

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