Get the Resale Value of My Property

Discovering how much one can sell their home for is a difficult measurement to make in this real estate market (2009). Ultimately, you are going to want to research local home sales in your area that are comparable to the current residence you wish to sell. The major factors one wants to try and match up when comparing home sales: use, type, and zoning, year built, square footage, bed/bath numbers, how close is it in proximity to subject property (really want comps within a mile, closer the better), when the comparable sale took place (the more recent the better, six months being too long to consider a true comparable – too much time has past).

To find comparable sale in your area there are many different services that one can utilize; one of the more well known is www.zillow.com where you simply type in your address, and it will research comparable home and produce a estimated value. This generated number however is more often than not inaccurate due various missing information: home improvements made not reflected in zillow, or recent comparable sales not yet represented for example.

For this reason you should not use this number generated, simply look at it as a benchmark. If you pay attention to the factors listed above and pick out 5 or 6 homes that have sold recently, you will probably be able to generate your own figure. But to get a more in depth idea of what your home could sell for you will want to contact a local real estate agent that specializes in listings, and get what is called a CMA or Comparable Market Analysis report from them. This report breaks down what they believe your home to be worth, what they expect it to sell for on open market, and how long such a sale should take. The CMA report they generate will take a little time, and they will probably need to meet and walk through your home before they can come up with the report. This activity should not be frowned upon if you are serious about your research. An agent cannot get a true idea of value until they have been in your home, and on your property.

Even if you are not going to definitively sell right now, a good agent will still take the time to do this work for you, on the assumption that when the future time comes, you will not forget about them, again assuming they have done a good job, and they are the right agent for you.

A couple notes about CMA reports… just because one agent comes in with the highest figure, does not necessarily mean they are the best agent. Review all the facts, and remain objective. Ask for and contact agent references to see if they deliver, or if they simply talk a good game. The point is a CMA report does you no good if it is inflated and unrealistic. Once you have these reports (get a couple from different agents interviewed), drive your neighborhood and visit the comparables (they should all be within a mile or so of you) and make sure they are true comparables.

Resale value, unfortunately can be a personal number. You need to think of this as business, remain objective, and not let happy memories and past appraisals influence what current market value commands. All of the recent foreclosure signs across our country have taken their toll on home values. If you get the results and your home is not worth as much as you had hoped, it is not the agent’s fault, don’t blame them, rather applaud their objectivity in getting you accurate information to base your decision off of.

In conclusion if value os not what you hoped, keep in mind like any market real estate has its ups and downs, review your local economy (is it improving or failing) and make a judgement call, a couple years from now value could very well return under the guise of inflation, and refinancing into a low 30 year fixed rate, hunkering down in low monthly payments, and waiting out the coming years may prove to be the wisest solution. After all, buying high and selling low is an investors sure formula to failure – and your home whether you anyone likes to admit it to, is an investment.