We all have used an automated value to see what our home is worth. When you are looking for a rough estimate that may be all you need, but when you need accurate numbers, there is something better!
Last week we met up with my family for dinner. My mom wanted to share something entertaining that she found while scrolling through a popular website of homes for sale. A home that they own in another state was valued at 1.5 million dollars by the website. We all laughed; this beloved family home is not worth 1.5 million dollars. Something had clearly gone wrong in the website’s calculations. While we all enjoyed a laugh over this clear mistake, it got me thinking. I wonder how many people rely on these website’s estimations of a home’s worth to drive their decisions in the home buying or selling process? Let’s talk about the differences between a local Realtor ® completing a home valuation versus an online one.
Wait…what is a home valuation?
A home valuation is an estimate of the current worth of your home. A valuation done one year ago may not be the same as one done today, since the ever changing housing market alters the value of homes. As a Locust Grove Realtor®, I do home valuations to help my clients determine the sales price of their home, decide if the home they want to purchase is in line with the market, and just to keep them up to date with the amount of equity in their home. While my home base is in Locust Grove, I helped over two hundred and fifty families in the surrounding counties buy and sell their homes.
How do online websites calculate your home’s worth?
Websites use algorithms along with publicly available data to determine the price of your home. If the public data, like tax information, is not up to date, then the estimate is not correct. For example, if a home has been recently renovated, then these renovations may not yet be reflected on the data since it takes time for these updates to be reflected in tax documents. In the case of my parent’s home, the website had the property at a much larger acreage then it really is. Pieces of the property had been sold over several years, but for whatever reason these transactions were not being reflected on the website.
How does a local REALTOR® determine the value of my home?
As a Locust Grove Realtor®, I use the information from recent sales of homes in your neighborhood, whether it is Lake of the Woods, Wilderness Shores, Somerset, or elsewhere of comparable properties along with a personal walk through of your home to determine its value. A renovation of the kitchen, finishing the basement, or putting a new roof on a home all add value. The value of your home can change based on local market trends too. Having a local Realtor® means working with someone who is in tune with the fluctuations of the market and can recommend accurate pricing in order to get your home sold.
Which valuation is better?
The home valuation that you get from your local Realtor® is a more accurate estimate of the value of your home. While the values given to you on big housing listing websites may be close, they are not as accurate as a valuation that a real estate agent can give you. I’ve met with homeowners who want to over price their homes because of the estimate that a big housing market website gave them. What happens in this case is that the home has little interest and few offers when it is on the market.
How can I find out how much my home is worth?
While those big housing listing websites are helpful if you are just looking for a general idea of what your home is worth, for a more accurate estimation, complete my home valuation form. I will take the information you provide me and do some research. I will contact you to talk about any upgrades or changes that you’ve made in order to determine the value of your home. If you are seriously considering putting your home on the market, then for the most accurate home valuation, I will walk through your home. Because you are working with a local Realtor®, this process is simple and doesn’t take much time. Click below to get started.
How much does a home valuation cost?
It’s free. I’m happy to help you determine how much your Locust Grove home, or beyond, is worth. Even if you are not interested in selling your home at this time, I still am happy to provide you with this information.
Are you ready to work with a Locust Grove REALTOR®? I’m here to help!
