Maybe you’ve been inspired by those “Sold” signs in your neighborhood; maybe you’re just ready for a change of scenery. Whatever the case, a great way to get an idea of how much your home is worth is to look at the recent sale prices of other homes in your neighborhood.
Comps Can Help You Figure It Out
By identifying the sale prices of similar properties in your area, known as “comparables” (or comps), you can come up with a realistic asking price. When using comps, you’ll want to compare apples to apples—that is, homes that have a similar square footage and amenities as yours. You also want to look at homes that were sold within the same six-month period and that are similar in style.
How To Search For Comps
A good place to start your research is realtor.com®’s Just Sold feature. Just enter your ZIP code, and click “Search.” A list of recently sold homes in your area will pop up, along with their sale price. This will give you a general idea of the home prices in your area, but to really home in on a sensible price for your home, you should call on a real estate agent.
And while it’s a great idea to find out about recent home sales in your community, you also should recognize your home might not sell for a similar price.
In general, the real estate market changes rapidly, and timing is a large factor in a sale price. Many of the factors of the larger market are out of your hands: Mortgage rates, the local economy, the national economy, consumer confidence, and the availability of homes for sale all influence a final price.
Will Home Improvements Affect Your Sale Price?
If you look through similar listings and feel like your house isn’t up to snuff, you might think about remodeling before putting your home on the market. But before you hire a contractor, determine if the cost of a remodel will be worth the value it will add to your property.
Homeowners might also make improvements that are too specific to their personal taste and won’t appeal to a wide variety of buyers.
If you are going to make some improvements with the hopes of increasing your home’s value, just be careful not to do too much remodeling.
Remember, buyers weigh many factors when they decide to buy a house, and digging deep into your home’s value can help you get the best price.
Courtesy of Realtor.com