Four different methods you can use to determine the value of your home.
Today we’re talking about how you can determine the value of your home. There are four methods that you can use for determining the value:
1. The county tax assessor’s valuation. Every two years in the St. Louis area, your county will assess the value of your home for tax purposes. They do this with thousands of homes at a time and usually don’t come into your home. Instead, their valuation is based on broad market trends for your area. It’s a way to get a quick look at the value but likely isn’t very accurate.
2. Internet search engines. These are all based on algorithms that look at the value of neighborhoods and recent sales in your area, but they don’t know anything about your house. They’re good for looking at the price range in your neighborhood, but when it comes to an individual home, they don’t have enough information to give you an accurate number.
3. Hire an appraiser. This is what banks rely on. They lend money based on these appraisals. The appraiser will give you a report showing the market value and then compare it to other homes in the area. You’ll get a very accurate estimate, but it costs about $200 to $450 depending on the appraisal company.
4. Have a Realtor give you a comparative market analysis. This is what I recommend for anyone thinking of moving in the next six months to a year. This is similar to what an appraiser does. We look at home values in the neighborhood and the features of your home to see how they compare to other areas in the neighborhood. We also take note of what buyers’ preferences are in the current market. A Realtor can give you more market insight in addition to an accurate number on what your home is worth.
If you have any questions, please feel free to contact me by phone or email. I’d love to hear from you and answer any questions you may have.
