What determines your Ormond Beach home’s value in today’s marketplace?

When you decide to sell your home in Ormond Beach, your Realtor will prepare a market analysis and give you his or her best opinion on the fair market value of your home.

Once you’ve found the buyer, if a mortgage loan is involved with the purchase, there will be a need for financial advice and an opinion of the fair market value on your home. This opinion is the one that the bank will use when deciding on funding the actual loan.

Neither your agent nor the appraiser pulls a number out of the air. So what information DO they use in determining value?

They use the prices that buyers recently paid for houses that closely match yours in location, size, age, condition, amenities, and construction type.

Since few homes are exactly alike, they make adjustments to match the other houses as closely as possible to yours. For instance, they may add or subtract value based on the number of bedrooms, the square footage, the lot size, the condition, the view, etc.

Location is important, because homes in neighborhoods just a few blocks apart might have vastly different values.

They do not consider:

  • What you paid for the home.
  • How much you still owe
  • What the tax assessor says the house is worth
  • What Zillow shows the house is worth
  • How much you need to pay your bills or buy a new home
  • How much you love the home or the good memories associated with it
  • How much your neighbor sold for if it was more than 6 months ago
  • How much a friend got for a house in a different neighborhood or city

Because trends and competition are important, both the agent and the appraiser will also make comparisons and consider homes that are currently For Sale.

Studies show that correctly priced homes sell faster and for more money than do over priced homes. So be wise – price correctly based on the best information you can get: Your Ormond Beach agent’s comprehensive market analysis.

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