When putting your property on the market, it is vital to consider the selling price. Marketing your property at the correct price, on market entry, is an essential part of selling your property timeously and getting the price you want.
A property valuation is used by your local municipality to determine the property taxes payable by the owner of the property. A bank will do an appraisal to decide how much to grant to a bond applicant.
A property’s selling price is the price that a seller decides to list the property at when putting up for sale. Note that, what your property’s worth and selling price is not necessarily the same, and various factors will come into play.
Factors influencing valuation
A municipal valuation is a value ascribed to your property by the local municipality. It is determined based on various factors and calculated according to a specific formula as per government regulations. The municipal value of your property is not necessarily equivalent to market value but will determine the amount you are liable to pay for rates and taxes each month.
A professional estate agent will be able to give you an indicative market value for your property. Seeff employs experienced estate agents who will be able to guide you in deciding on a realistic asking price.
Factors Influencing Selling Price
Remember that buyers now have access to a wealth of information with regards to properties in their area of interest. They tend to do their research thoroughly before going to view any property, and therefore they know very well what is available within their price range.
Buyers compare properties and value on offer and will often come with their idea of what a home is worth. Understandably, this can evoke some emotion with sellers, which emphasises, the importance of an independent valuation.
Valuation by an Estate Agent
An estate agent will conduct a Comparative Market Analysis (CMA) report of your home. Taking into account selling prices of homes in the same area over a period and the size of those properties.
The agent will further assess the differentiating features of your property, the condition, additional selling points and even the surroundings. They will then provide you with an objective estimate, and the final decision will lie with you as the seller, to consider all the information along with your personal and financial circumstances and settle on a reasonable selling price.
When you sell with Seeff, your local estate agent will assist you in making a confident, informed decision about what price to ask for when listing your property.
Author: Seeff Head Office, 05 December 2019, Expert Insight