Pricing Your Home Is Not Magic

If you are thinking about selling, determining the right value is your number one priority. While sometimes it seems the price is picked out of thin air, there really are 3 methods for determining value. Below is a brief explanation of each.

• Market Analysis – Prepared by a real estate agent to provide an estimate of the probable selling price, expressed as a range. Using similar active and recently sold properties and factoring in the many characteristics that impact value, it is a guide to help the seller determine a listing price.
• Appraisal – A much more in-depth analysis done by a licensed appraiser. Typically appraisals are used in the loan process to ensure the value of the home is equal to or greater than the purchase price, thus protecting the lender’s interest.
• Automated Valuation – Used by Zillow and other companies, the value is calculated by software based on mathematical modeling. While convenient, it misses important price influences such as property condition and location (e.g., on a busy street).

Want to know your home’s value? It’s a complicated market with shifting impacts. Contact me and put my 29 years in the business to work for you!

Donna Forest, Broker - Realtor