How to Evaluate Real Estate Value

If you want to know how to evaluate real estate value you should know that is equal parts art and science. In order to find a specialist in the field, you can simply go online and search for accountant Bournemouth UK. If you want to do it on your own, you need to analyze carefully a lot of data, and then you have to be creative in thinking how your home value could increase or decrease. Property evaluation is an important step in any real estate transaction and you can do it yourself or with the help of an expert. This is similar to searching for life insurance quotes online before actually committing to any insurance agency or finding the most suitable accountant Bournemouth UK has to offer.. A very popular method in evaluating the real estate value of your home is: taking a tour to your neighborhood and compare your house with other similar properties, and then extrapolate your property value based on what they were sold for.

  • Instructions

This is what you should do to learn how to evaluate real estate value of your home:

1.      Take numerous data of your house that include: square footage, number of bathrooms and bedrooms, size of the property and the style or your home. You should add specific information like: presence of decks, swimming pools, or the systems that need to be repaired.

2.      Check out for minimum three properties that are similar with yours and that were sold lately, no longer than a year. It will be perfect if they were more likely in square footage, number of bedrooms and bathrooms. Another important thing is that the houses should be in the neighborhood. Find business tips that can improve your efficiency.
3.      You will have to calculate the mean of the square foot for each of the three houses that you decided to compare. For example, if the properties had all three 1,000 square feet and were sold for $ 100,000, $130,000 and $100,000 your mean cost per square-foot would be $330,000 divided by 3,000 which equals $110 per square foot.

4.      Then, you should multiply the cost per square-foot with the size of your house. For example, if your property was 1,000 square feet its value would be 110 multiplied by 1,000 which equals $110,000.

 

  • Tips and warnings

 

  • Each house is different so you should increase or decrease the price depending on its characteristics.
  • If you want to find out sales information about houses from your area you should ask the county tax collector, real estate agents and also real estate websites.
  • If is really hard for you to find out sales data, you should also speak with an appraiser or a real estate agent and ask their opinion about your houses’ value.

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