Whilst online valuation tools will give you a rough idea of the value of your property, that’s where their usefulness stops. After all, a property is only worth what a real human being will pay for it, meaning that accurately pricing a home requires a great deal of nuance and – crucially – a keen eye for detail.
For many people, getting an accurate picture of their property’s value starts with inviting several estate agents around to provide a valuation. However, a quick word of caution – the estate agency business is extremely competitive, and there have been rare cases of some agencies providing an inflated valuation just to get houses on to their books.
This is why it’s so important that you, as a potential home seller, have the information you need to gauge how much your property is actually worth, and to challenge any third party valuations that you think might be inaccurate.
So without further ado, here’s our one-stop guide to valuing your own home.
Location, location, location
There are several location-based factors which contribute to your home’s value, such as access to public transport, proximity of good schools, shops (the more boutique the better!) and green spaces. Obviously, the more upmarket the area and the facilities, the more elevated prices will be due to greater desirability.
For example, if your home is in the catchment area for a popular local school then this will almost certainly be a positive contributor to your home’s value, whereas having a bus stop at the front or a railway line at the back might have a negative impact. The view is another positive factor – a home overlooking a park or fields is a lot more desirable than, say, an industrial estate. Taking this to another perspective, a high street property with amenities on the doorstep and good triple glazing (soundproofing) will appeal to many younger buyers. The type of street also will count, as a clean, tree-lined avenue with neatly tended driveways and gardens is more appealing than a scruffy one.
First impressions
The agent that visits your house, whether they are from a high street or online estate agency, will be looking at a dizzying array of variables in order to reach an accurate price. They will also take into account similar houses in the same area that have sold recently and for how much.
In terms of the actual inspection, all agents work to a standard list. Starting with the exterior, this includes:
- Kerbside appeal – high, medium or low?
- The exterior condition – does it need work?
- Is there off-road parking and/or a garage?
- Is the garden tidy?
- Are the windows double-glazed?
- Is the front door in good condition?
Most estate agents will also be on the lookout for negative factors that can easily be turned into positives, such as tidying the garden, painting the front door, adding window boxes and hanging baskets. Flowers always bring a smile to a prospective buyer’s face too!
The interior inspection
As everyone knows, a nice kitchen and bathroom are great selling points – and this is one of the things that your agent will be looking out for. A neutral décor is always preferred because it will provide a ‘blank canvas’ in the mind of potential buyers, allowing them to picture their own furniture in your home. In fact, first impressions as a buyer walks through the door are all-important and as such the agent will be looking for the following:
- Is the entrance hall inviting?
- Are carpets/flooring in good condition?
- Is the kitchen modern, well-designed and attractive?
- Is the house clean, well-presented and with a pleasant outlook?
- Is the bathroom in good condition with a modern suite?
- Are the bedrooms spacious and how many are there?
Don’t be offended if the agent makes recommendations to improve the saleability; it’s in everyone’s interest to get you the best price for your home, and if a few minor changes will facilitate that, then all to the good. For example, a kitchen which looks slightly scruffy might benefit from a cheap facelift made by simply by painting the cupboards and tiles and replacing the unit handles.
Does your property have potential?
The perfect location does not always throw up the perfect house for a buyer, so the agent will be looking to see if there is scope for improvement, such as an extension. If other houses in the street already have side or rear extensions then a precedent has been set, so it’s unlikely planning permission would be refused on yours.
Another great place where your house can offer extra living accommodation is the loft. This means that if a buyer wants four bedrooms and your house only has three, that negativity can be dealt with on the spot.
The importance of multiple estimates
Overvaluing… undervaluing… no matter which way you cut it, valuing a property isn’t an exact science. That’s why it’s so important to get more than one estimate.
How quickly you want to sell is another important factor; you should discuss this with each agent as there is nearly always a ‘test the market’ price and a ‘quick sale’ one. Ultimately, the final decision is yours, but remember – a house is only worth what someone is prepared to pay for it so try and be flexible and never be afraid of challenging a professional’s estimates.
Useful tools
https://www.rightmove.co.uk/house-prices.html – Find out how much similar properties have sold for in your local area.
https://www.propertypriceadvice.co.uk/valuation – Our preferred online valuation tool.
http://landregistry.data.gov.uk/app/ukhpi – The Land Registry’s UK House Price Index is a useful tool for understanding how the wider property market is performing.
http://www.police.uk/ – A great tool for analysing crime levels in your local area.
https://www.schoolguide.co.uk/ – A website showing school catchment areas.
http://www.uklocalarea.com/index.php – Simply type in a postcode and find out how your local area compares to the rest of the UK for crime, education, health and much more.
