Catching up with Carol and Liz – what is your house worth?

When you are selling your home or simply need to know the value of it, more than likely, you will turn to a real estate agent for a professional appraisal. If you get more than one agent in to value your home you can often get a big discrepancy in the price. This can be both confusing and frustrating. If you are considering selling your home you really need to get an accurate picture on what you might realistically achieve at sale.

 

The first question we are often asked by potential sellers is “why is there a discrepancy in pricing between agents”. There can be several reasons for this. Here are the most common reasons:

1. The real estate agent may not have visited your home. If you were given a price over the phone, then the agent may have used their local knowledge of the area and given you an indicative price on your home based on local sales.
2. The real estate agent may not have done their background research. It is vital when providing a price that the agent has done their homework. This will include knowing what is currently on the market, what has recently sold and how house prices are trending in the area. All of this will provide a more accurate picture on price.
3. The agent may not have got an accurate picture of your home. Be sure you are there when the appraisal is being done on your home. Consider writing a list of some of the features of your home, particularly if these are not visible. This may include things like ducted cooling & heating, roof insulation, solar hot water or panels, reticulation and any renovations or upgrades you have done. If the agent is not told these things they could be undervaluing your home.

 

It is not uncommon for the real estate agent to give you a list price and a sale price. They will often ask you what price you want for your home. It is really important that you are honest with the agent on this one. A good real estate agent will work hard to achieve your list price and sharing with them your lowest offer will not mean they will work towards that. Being honest can help the agent to know your situation and help you achieve your price goals.