If you are looking to sell your home, the most important question to ask is “What is my home worth?”
This will determine your asking price, and help when coming up with a description for buyers to come across when shopping for a house.
There are many factors that affect your property value, some of which are completely within your control.
1. Home Size
The value of a home is roughly estimated in price per square foot. The sales price is divided by the square footage of the home.
When you purchased your home it came with a set area of square footage, but have you added on to it to expand that space?
Adding more space to a home will up its value.
2. Usable Space
In addition to square footage, a home’s usable space matters when determining its value.
This livable, usable space is important to not only buyers but appraisers. Highly valued spaces include bathrooms and bedrooms, so the more your home has the more it will be worth.
Note that garages, unfinished basements, and attics are usually not included in usable square footage.
The overall condition of the home is paramount when determining its worth. Even older homes can have a better appraisal of worth if major pieces of them are newer or have been recently replaced or worked on.
Plumbing, electrical, and all major appliances that are newer have less of a chance to break down, generating savings for potential buyers. A good roof with a good warranty will also help new owners save money.
Many buys require an inspection contingency in their contract to get a better handle on these facets of the home. They want to negotiate repairs to avoid any major expenses following the sale. A move-in-ready house will have more worth.
4. Upgrades and Updates
This dovetails in with the condition of the house. Any updates and upgrades done can add value to your home, especially in older homes that may have outdated features.
The impact of an upgrade or update varies based on the market you’re in, as well as existing home value.
Some projects, such as adding a pool or wood floors, tend to have bigger increases for more expensive homes, while projects like a kitchen remodel or adding a full bathroom tend to have a bigger increase for less expensive homes.
5. Curb Appeal
Making a first impression on buyers is key to getting them onto the property and intrigued enough to make an offer on the house. Outside of that, sprucing up the outside appearance also adds to the property value.
Take a look at the porch and usable outdoor space. Can you do anything to expand it or improve upon it?
You want to repair a cracked driveway or walkway not only for safety reasons, but also to add value to the property. Cracked or peeling siding and roof tiles will also want to be assessed for repairs.