‘What Is My Home Worth’? Ah, the million dollar question. Today, I’m give you tidbits to figure out what your home is worth. The classic thing that everybody does is go on Zillow, Redfin, Trulia, to see what their home is worth. And while that’s a good starting point, it definitely is not going to give you the best answer possible. And that’s because algorithms and computers do not take very specific factors into account. I have a whole other tidbit that you can find on my YouTube channel about Zestimates and how they’re calculated. But in order for you to know what to list for, the first thing you need to do with your realtor is look at comps. Actually your realtor should be looking at comps. And when I say comps, I don’t mean all the homes that have sold that have the same specs as yours within your entire zip code. That is too broad.
You need to look at what I like to call your micro neighborhood. You need to first of all, look at your home and your lot and find homes that have sold in the recent past three to six months that are similar in lot size and also are they a flat lot or is yours on a hill? That’s something that you need to take into account as well. The layout of your home, so inside your house, how is it laid out? You can’t know that, but your realtor who is a neighborhood expert, should have a good sense of those homes that have sold and walked inside of them to know functionally how well they were laid out compared to yours. Indeed, a functional layout is one of the top things that can affect the price.
The other thing you need to consider when asking yourself ‘What is my home worth?’, is what type of street are you on? Is it a busy street? Are you on a cul de sac? Are you on a corner lot that is adjacent to a busy street? Is there a lot of traffic? Are you walking distance to any amenities, any shopping, restaurants? Those are important factors as well. In fact, most algorithms do not take those into account. In addition, one needs to look at how many bedrooms and bathrooms you have, the square footage of your property, so really when you look at all of the comps and you find some that meet as closely as possible, your home within the same street or pocket ideally, then that’s going to give you a really good sense of where you should be priced.
There are other things that have to be taken into account when you’re pricing your home, which are how motivated are you? How quickly do you want to sell? Do you want to be on the market for the average days on market? Or are you hoping to sell sooner? Because while everything I just said is a good starting point, you need to also take into account your timing and also how many other homes are for sale at the time that you’re going for sale. That’s a concept that’s called the absorption rate and I’ll go into that into more detail in my next post.
If you need any help at all determining what your home is worth, I will be happy to help you.
About the author: Caroline Abkar is an established San Diego Realtor and Bay Park resident who is absolutely passionate about the community as well as representing her clients in selling and acquiring the biggest investment of their lives. She will go above and beyond for those who place their trust in her. You can contact her anytime at 619-808-4804.