Understand your home’s true value

While one could simply hire a professional to determine the value of one’s home, it is still useful to know how and what affects the value of a property.

Regional director and CEO of Re/Max South Africa, Adrian Goslett, said knowledge of what affects the resale value of a property would help homeowners guard against anything that could depreciate value.

Goslett lists three key factors:

1. Location, location, location

One of the biggest contributors to a home’s value is often it’s location. Every suburb has its own maximum and minimum value based on past sales which largely dictate the price parameters for future sales.

The more desirable a location, the more value and demand there is for one’s home.

The most desirable suburbs are generally those located most conveniently, with trendy, beautiful and secure communities. Ease of access to medical facilities, schools and shops add to this.

2. External market conditions

Property values are based on the rules of supply versus demand and will constantly change over time in response to external market factors.

When demand is greater than supply, property prices will increase, but the opposite is true when there are more properties for sale then there are buyers.

Demand, along with property prices, drop when things such as interest rates, inflation and unemployment are on the rise. Similarly, during periods of economic flourishing, demand usually rises along with property prices.

While predicting the market accurately is nearly impossible, keeping up-to-date on influencing matters could help you decide on the best time to sell.

3. Tender love and care

Looking after your home is probably one of the most crucial factors when it comes to improving its value and getting the most out of a sale.

From the features to the condition of the home, these all contribute to its value. This includes the number of bedrooms, bathrooms, the state of the roof and size of the property.

While it sounds simple, the visual state of a property will impact on how desirable it is. Homeowners should keep on top of all home maintenance issues and keep the home modern and appealing to ensure the resale value is not affected.

When a property owner is ready to sell, hiring the right professional and following their advice should be a priority.

“Many people don’t realise there is a difference between an official valuation certificate and a real estate agent’s market assessment value of a property,” says Goslett.

“The difference is that a property valuation can technically only be conducted by licensed appraisers. Some, but not all, real estate agents are licensed to provide an official valuation.

“All licensed real estate professionals will have the requisite expertise and access to information to provide a fair market assessment of the home’s value.”

Follow The North Coast Courier on Facebook, Twitter, Instagram & YouTube for breaking news

Telegram Broadcast Service: https://t.me/joinchat/yJULuN8NaCs5OGM0

WhatsApp Broadcast Service: Add The Courier to WhatsApp at 082 792 9405 and WhatsApp your name and surname to be added.