What is the market value of my home?
Establishing a home’s market value is one of the most important steps in successfully selling your home.
A real estate professional should prepare a CMA - Comparative Market Analysis to help determine a listing price. The CMA includes recently sold homes and homes for sale in the seller’s neighborhood that are most similar in appearance, size, features, and general price range. This includes an analysis of pricing strategy, market time, and competition.
A bank appraisal is a professional determination of a home’s value. It’s performed by a licensed appraiser, using guidelines established by the Federal Housing Finance Agency. An appraisal is a comprehensive look at a home’s location, size, condition, and eligibility for federal guarantees. For example, a home that doesn’t meet safety requirements such as handrails on steps will not be eligible for FHA or VA loans until the handrail is installed or repaired. Appraisers use the same data in their market research to find comparable homes as REALTORS® do. They also have additional guidelines from the bank to follow that minimize risk to the bank. They may take off value for slow-moving markets, or markets with high rates of foreclosures. When the appraisal is finished, the bank makes the decision to fund the loan, or it may require the seller to fix certain items and show proof that the repairs have been made before letting the loan proceed.
If you are considering selling your home or are curious about it's current market value, I would be happy to meet with you! Please visit my contact page to set up a discussion.