Trying to decide on the best price range when selling your house can be a bit of a minefield. Value it too high and you might not get any bites, value it too low and you could end up losing out. Pitching the right price to your prospective buyers can be absolutely crucial when it comes to negotiating a value that you’re both happy with. Here are our top tips for getting the best property valuation.
How estate agents value your home
Whether they have an experienced valuator in-house or not, most property agents will utilise an age-old method that’s based on criteria from the Royal Institution of Chartered Surveyors:
• The age and type of property
• The accommodation available
• The fixtures and features of a property
• The property's construction and state of repair
• The position within the locality and the surrounding amenities available
• The tenure, tenancies, services charges or any other liabilities.
(From : http://www.rics.org/uk/tag/property/)
But agents will also keep in mind other houses that they’ve sold for similar prices in the area, as well as what the market is doing. Are house values moving up or staying steady? They’ll compile all of this info into one rough offer and send it over to you for consideration.
Make sure that you obtain three quotes from three separate agents for good range, and don’t necessarily go for the highest – you could end up pricing yourself out of the market.
While it’s great that estate agents do the valuation work for you, it’s always good to do your homework yourself to get a good feel of the true value of your home. There are several tried-and-tested ways that you can go about valuing your house selling price. Here are the four most popular.
1. Go compare
One of the best methods to determine house pricing is to look at what your neighbours’ houses have sold for or houses that are similar in your area. There are loads of websites that can help you see what nearby houses have sold for and when. Off the top of our heads we can think of comparison services from Zoopla, Rightmove, PrimeLocation and nethouseprices.
2. Market forces
Look around your area. Seen loads of for sale boards? Great, demand might be high, property sale prices could be on the up, your home might be sought after – however, you could have loads of competition, and this will affect the price. No sales boards around you? This could be good too as your house could be a rare opportunity, but equally it might mean the market isn’t there. Get your hands on a PDF of the GOV.UK House market report for your local area, or use Rightmove’s market trends calculator to get an idea of the demand for your property.
3. What’s it worth to you?
This method is really good if you’re considering letting the property rather than selling. It takes into account the value of the house to you by assessing its future income or its potential resale value. It’s also useful if you know your house is in an up and coming area, assessing how much it’ll be worth in six months or a year down the line. If your property requires a bit of refurbishment, also consider the fact that it’s a project – sometimes people will pay more for projects than ‘ready to move in’ houses, as they can put their own stamp on it.
4. Could you replace it?
If your house was destroyed and then rebuilt from the ground up, how much would it cost? Think about the entire property and the land upon which it’s built: the reconstruction costs and depreciation of building it over time.
Using a culmination of these methods will give you a great idea of a property valuation you can then have ready to compare with quotes from your chosen estate agents.
However you choose to value your house, we’ll be on-hand to get you ready for the big day once it’s sold, just get in touch for a free moving valuation.We are always happy to hear from you if you have any questions →