3 mins read
What do estate agents do when they value your house?
An estate agent’s valuation begins even before they set foot in your house. This is because a home’s value is determined as much by what’s going on in the local property market as by its unique characteristics. It would be almost impossible to sell a 3-bedroom flat for £700,000 in an area where all the other 3-bedroom flats are on sale for around £300,000. This is the case even if 3-bedroom flats in the area have previously sold for £700,000. It won’t look good value for money.
This initial stage involves looking at the properties in the local area. They will assess what has recently sold, what is currently on sale, and which properties are struggling to sell. From this they’ll be able to gauge what sort of properties and prices are creating interest amongst buyers.
Once the estate agent has an understanding of the local market they will look in detail at your property specifically. They’ll look at your home’s: size, number of bedrooms, outdoor space, and location (in relation to things like good local schools or transport links). They will then take into account any special features unique to your home. Do you have beautiful parquet flooring, or a fireplace? Is your kitchen fitted out with high spec appliances? All these things will be taken into consideration as the estate agent figures out where to position your property price-wise in relation to other homes on the market.
An estate agent is also likely to talk to you about your selling aims and expectations. They will want to know whether you’re looking to sell quickly, or whether you’re hoping to hold out for the highest possible price. If you have a specific figure in mind, they will likely also bear this in mind when presenting their valuation.
How to get the most out of an estate agent valuation
To get the most out of an estate agent valuation, and ensure you’re getting a realistic estimate, make sure you ask the following questions:
- What other houses like mine are currently on the market?
- How much interest are properties like mine currently getting?
- Where do we need to position my home to make it stand out in the local market?
Just as important as the estate agent’s response to these questions is the evidence they use to back up their answers. If your agent is able to provide justifications for their estimate you can be assured their valuation is likely to be more accurate. This could be examples of similar recently sold properties, or extensive experience of selling homes like yours.
It’s recommended that you meet with more than 1 estate agent to get an accurate idea of how much your home is worth. We think that having 3 valuations puts you in a great position to understand the current worth of your home.
Not only will you be able to compare each estate agent’s value estimates, you will also be able to compare their methods. This is an opportunity to find out about their marketing ideas, their selling style, and how often they’ll be in touch with you. Your chosen estate agent will handle one of your most valuable financial assets. Taking the time to find the one best suited to you is a worthwhile investment.
For more advice on preparing your home for sale and picking the best estate agents, check out our handy guide.
Compare Local Estate Agents
See which agents will do the best job of selling your home.
Should I sell my investment property now?25 Nov 2020
People choose to get into property investing for a number of reasons: to create a nest egg for the future, for a source of passive income, or for the direct profit gained from doing up and selling a run down house. In many cases property investment is a long term strategy. But, in times of uncertainty - and rapidly rising house prices - some investors choose to take a more reactive approach. In this article we look at what conditions in 2020 might encourage investors to sell up, and the important things to consider before taking the leap. ### What is an investment property? An investment property is a house or flat that you’ve bought with the intention of making money. For example, both buy-to-let and house flipping would count as forms of investment in property. ### Should I sell my investment property now? 2020 has been an exciting time...
Is winter a bad time to sell a house?24 Nov 2020
Many people associate winter with hunkering down at home, preparing for the festive season, and thinking about the potential of the New Year. Because of this, the winter season isn’t traditionally seen as a prime time for home sales. However, the property market doesn't go into hibernation over winter. Property portals - like Rightmove, Zoopla & OnTheMarket - all report record numbers of visitors over the Christmas period. And, the New Year is often reported by estate agents to be one of the times of year that they get the most enquiries. This is partly because people have more time over the Christmas period to look for homes. And the New Year offers a fresh ‘starting point’ for many people to make major life changes. Indeed, there are actually many pros for putting your home up for sale during the winter months: * **Reduced competition** - because there are fewer...
Is it hard to sell a leasehold property?20 Nov 2020
Selling a leasehold property is slightly more complicated than selling a freehold, but if you’re well prepared there’s no reason why the sales process should be hard. Making sure you’re aware of the specific terms of your lease agreement and having key documents to hand is a great place start. And, because they’ll be handling the majority of the more complex elements, working with an experienced estate agent and legal team will make a huge difference in encouraging a stress free sale. ### What is a leasehold? Owning a leasehold means you live in a property on a piece of land that is owned by someone else - ‘the freeholder’. Most flats in England and Wales are leaseholds. You might also find that some new-build homes are leaseholds. As a leaseholder you’re allowed to live in the flat or house for a set period of time as long as you...