Factors That Affect Home Value

Factors That Affect Home Value

When it comes to your house, there are many different variables that go into maintaining its value and minimizing depreciation as much as possible. Even the slightest neglected element can harm your home’s final resale value. Whether you’re buying, selling, or refinancing, a state-certified appraiser will take all of these factors into account when assessing the valuation of a residential property. 

So if you’re a seller or homeowner, what can you do under compliance to maximize your home’s resale value? Which factors that affect that value should you look out for? Read on to find out.

Location

Homeowners have little control over this factor, but it can still be an important one in the final valuation. Is your home in a quiet, quaint area, or is it located around any loud noise sources like transit stations, airports, construction sites, or specific workplaces? Can the buyer expect a friendly company, or does the area have crime problems? Does the surrounding yard offer plenty of space for kids to play and vehicles to be parked, or will the buyer be boxed in uncomfortably tight? 

What does the local market’s historical precedent look like, with neighboring homes or the home itself? Are you working with a buyer or seller’s market? These variables can fluctuate vastly in a short time, which means that you should work with an expert to get a handle on this.

Size

According to the latest Census figures, the typical American home’s median size is 2,301 square feet. Does the house offer sufficient breathing room for a couple, or better yet, a family? Is it typical of the proportions provided by the majority of homes in the local market? Does it offer an adequate number of bedrooms, bathrooms, living rooms, and storage space to get on with life comfortably?

If you have enough disposable income to add any upgrades or renovations, consider doing so. Additional garages, sheds, storage closets, and room overhauls will bring thousands in appraisal value. Some upgrades are more effective than others, so evaluate them carefully. 

Amenities

A good home will have plenty of resources to facilitate work and play, business and pleasure, and all the typical conveniences and creature comforts we want to have in life. Does the property offer good bathrooms, bedrooms, yard space, utilities, air conditioning, and storage space to meet buyer needs? 

Meeting such needs in an energy-efficient, environmentally friendly way that won’t bloat utility bills is another plus for reasonable home valuation. Don’t neglect to bolster your leisurely amenities, either. Investing in internet access, swimming pool access, and fireplace access can beef up your home’s valuation by thousands of dollars.

Condition of Your Home

This is a big one. If the home has outdated appliances, a damaged foundation, and an overall dirty, disheveled appearance, those negatives will negatively reflect your final valuation. It’s common sense that you should invest in improving these things before putting your home on the market.

And if you’re looking to sell or refinance your home in the greater Chicago area, it’s common sense that you contact Allstate Appraisal to handle all of your appraisal needs. We’ve been doing appraisals for about as long as appraisals have been done, and we’d be happy to help along with yours. Give us a call or fill out our contact form to learn more!