If you’re planning to buy or sell a home, one of the first things you’ll need to do is get an accurate valuation of the property. But how do you go about doing that? You can use several methods, each with its pros and cons. In this post, we’ll look at the three most common ways to evaluate a home’s value: comparative market analysis (CMA), appraisals, and online home value calculators.

 

Comparative Market Analysis (CMA)

 

A CMA is a report that compares your home to similar properties in the same area that have recently sold or are currently on the market. A real estate agent can prepare a CMA for you based on their knowledge of the local market and recent sales data.

Pros:

• CMAs are often free or low-cost, making them affordable for homeowners.
• They provide a comprehensive local real estate market overview, including recent sales and pricing trends.
• CMAs can be tailored to your needs, considering the property’s age, size, and location.

Cons:

• CMAs are only as accurate as the data they’re based on, so if there haven’t been many recent sales in your area, the CMA may not be very reliable.
• Because a real estate agent prepares a CMA, some bias may be involved. For example, the agent may have a vested interest in convincing you to list your home with them.
• CMAs don’t consider any unique features of your home that may affect its value, such as renovations or upgrades.

 

Appraisals

 

An appraisal is a professional opinion of a home’s value conducted by a certified appraiser. The appraiser will visit your home, inspect the property, and consider its location, size, and condition. They will also look at recent sales data in your area to determine the value of your home.

Pros:

• Appraisals are conducted by professionals trained to provide unbiased opinions of a home’s value.
• They consider all aspects of the home, including any unique features or upgrades that may affect its value.
• Appraisals are typically more accurate than CMAs, as they are based on a more thorough analysis of the property.

Cons:

• Appraisals are more expensive than CMAs, with fees ranging from a few hundred to a few thousand dollars.
• They can take longer to complete, which may be an issue if you need a valuation quickly.
• Lenders often require appraisals before approving a mortgage, which means you may need to get one regardless of whether you want to.

 

Online Home Value Calculators

 

Online home value calculators are tools that use algorithms to estimate the value of a home based on factors such as its location, size, and condition. Real estate websites often provide these calculators, which are free to use.

Pros:

• Online home value calculators are quick and easy to use and can provide a ballpark estimate of your home’s value within minutes.
• They’re free, making them an affordable option for homeowners.
• Some calculators allow you to adjust the estimate based on factors such as upgrades or renovations, giving you a more accurate estimate.

Cons:

• Online home value calculators are only as accurate as the data they’re based on, which means they can be unreliable in areas with limited sales data.
• They don’t consider any unique features of your home that may affect its value, such as renovations or upgrades.
• The estimates provided by online calculators are not official appraisals.

 

No matter your chosen method, getting an accurate home valuation is essential in the buying or selling process. Saint Aubyn Hill’s Team understands the importance of getting an accurate valuation and can help you navigate the different methods available. Our team of experienced real estate professionals is dedicated to providing the information and support you need to make informed decisions about your property.

If you’re looking for help with your home valuation or ready to buy or sell a home, contact Saint Aubyn Hill’s Team today. We’re here to help you every step of the way.