What are things I should look for when getting market value of a San Diego house?
Most people have trouble figuring out what to sell their house in San Diego for. This is probably because they feel as if it’s anybody’s guess as to what a house is worth. That’s not the case at all. Every house, in ever market has a great value estimation for what their house can sell for. Whether you’re selling a house in San Diego, Denver or Roseburg, this blog should help you figure out the market value of your house.
Now let’s get into the meat and potatoes of the actual tips of determing what your home’s worth in San Diego.
1. Hiring An Appraiser
If you want it done right, simply hire a professional Appraiser. During a home sale, the bank that makes the home loan normally selects an appraiser to render an opinion about the value of real estate as of a specific date. They’ll use actual properties that have sold for the basis of their evaluation. This isn’t a “I just think it’s worth X amount” process. It’s a calculated disciplined approached with real numbers. Listen to a real estate professional in Beverly Hills mention how even the Zillow CEO’s own home was 40% off of it’s real value. Watch the video below to find more about “What Are The Benefits Of Hiring An Appraiser?”:
Should I Use The Square Foot / Price Method?
This is simply dividing the price the house sold for by the total square footage of the house sold. The reason why the price per square foot method is a poor method to determine market value is because every home is unique in San Diego. While homes are similar in terms of size, bedrooms, bathrooms and location location location add or subtract value as well. There are so many factors that aren’t taken into consideration when using the price per square footage way of determining market value if this is done by an amateur.
My Friend Said I Should Use Zillow, Is That Accurate?
There are many homeowners who really think that “free online home estimators” are going to be 100% correct. Sometimes they can be drastically off! If I were to receive a dime every time I heard a San Diego home seller say, “But I know Zillow said my home is worth more,” I’d be the next Bill Gates by now. Okay not that much but it would be a nice vacation at least. Anyhow, one of the worst methods to determine the market value of a home is using online market value estimators like Zillow.
There are several websites that offer home value estimators just like their are tons of websites offering free credit scores. When is anything every truly free when it comes to finance services? Some of the most popular websites that homeowners visit to find out the value of their home are now household names and used daily and people are confused as to why no buyers show up to their San Diego open house.
If you think about it for a moment, how can a website that is not located in your local area and that has never been inside your home determine the market value of your home. It’s impossible for a homes market value to be accurate since these online websites have no clue what is currently happening in your local real estate market or what the condition of your home is.
There is currently a lawsuit going around as to whether Zillow’s home value “Zestimates” are accurate or not and are scaring off buyers. Don’t just depend on an algorithym that’s automated to tell you the truth about your own house. You have to remember it is virtually impossible to know the exact neighborhood and condition of every house in your neighborhood just based off that.
At the end of the day, use a professional such as a real estate appraiser or real estate agent to determine the value of a house. “You get what you pay for”, for a reason!
If you’d like to list, sell or buy a house in the San Diego, California, give us a call or contact us here on our site today!
-San Diego Estates Group