Real Estate Valuation 101: Tips for First-Time Sellers!

Thinking about selling your home?

Then, understanding the ins and outs of real estate valuation is crucial.

And who better to walk you through than us, Measured Home Services?

Let's dive right into real estate valuation!

First things first: real estate valuation might sound like a mouthful, but it’s basically what your property is worth in the current market.

Getting this right is the cornerstone of a successful sale.

With years of experience in the real estate valuation business, we've seen how an accurate valuation prior to listing can make the selling process less painful.

Understanding Real Estate Valuation

What's It All About?

In its simplest form, a real estate valuation tells you how much your property is worth.

For sellers, this number becomes your guiding star, helping you set the right price and negotiate confidently. There is always a range of which your home may sell, but having a professional appraisal on hand with an opinon of value has proven to be a huge asset for many sellers.

Why's Real Estate Valuation So Crucial?

Imagine listing your home based on a hunch or the neighbor next door sold his house for a certain amount.

Not the best strategy, right?

Not every home is the same, even in the same neighborhood. By understanding your homes value through a real estate valuation ensures you neither undersell nor scare away potential buyers by overpricing.

Key Factors that Influence Valuation

Location, Location, Location

Many people recognize Tulsa as having areas with various nuances.

Close to Cherry Street or Brookside? Back up to a large retail facility or front a busy street? All of these examples may be cause for a closer evaluation and market study by the appraiser.

The appraiser will develop a professional opinion of value by researching comparable sales in the market area. In other words, sales and market data will ultimately be relied upon for determining a value opinion.

Property Size & Usable Space

While bigger generally means more valuable, do not be misled by simply applying the price per square foot method to determine your list price! Price per sqft is only one piece of the puzzle and represents only one of the many aspects of value.

Age & Condition of the Property

It's like when you're selling a used car – a well-maintained, older model may fetch a better price than a newer, neglected one.

The same goes for homes.

Never underestimate the importance of maintaining your home in good condition.

Market Demand & Supply

Currently, the Tulsa market appears stable, but real estate climates can change.

Stay informed about market trends, or better yet, let experts (hint: us!) guide you.

The Valuation Process

Preliminary Research

This is our detective phase.

We delve deep into recent sales, market trends, and more to get a grasp of the local landscape in your market area.

Physical Observation

When we step into a property, we're looking at everything.

From the condition of your roof to the condition of your carpet, it all matters. Though an appraisal is not a home inspection, the overall quality and generally observable condition play an important role in determining the value.

Comparative Market Analysis (CMA)

Think of this as window shopping.

We look at homes similar to yours, see what they sold for, and then adjust based on differences.

It’s a bit like saying, “Hey, if that house with one less bathroom sold for this much, mine's definitely worth more!”

Final Report Compilation

This isn't just a number slapped on a page.

It's a comprehensive appraisal report, tailored to your property, ensuring you know your home's value inside out.

Common Mistakes First-Time Sellers Make

Oh boy, where do we begin?

From emotional pricing (we get it, your kid took their first steps in the living room) to neglecting needed repairs, first-timers often stumble.

Remember, buyers aren't buying your memories; they're buying a house.

Benefits of Hiring a Local Expert

There is story of a customer who purchased a house well under the market value. After doing many repairs and upgrades, he had an appraisal completed to sell the house, looking to make a large profit due to the improvements made. To his surprise, the house was much smaller than what had been reported online at the time of his purchase, eliminating his entire profit margin.

Moral of the story?

Expertise matters.

He had completed renovations with the expectation to sell for a nice profit, but failed to realize the inaccuracy of his resources.

Preparing for Your Property Valuation

A little prep never hurt anyone.

Ensure your home projects are complete and repairs have been buttoned up.

Appraisers will give consideration to unfinished projects such as missing flooring, non-functioning bathrooms, or unfinished trim work.

As an alternative, if you are looking for a projected value based upon repairs you plan to complete, we are able to offer an appraisal for those situations. These are called “subject to” reports. The appraisal is completed with the hypothetical condition that repairs have already been completed. Some customers request these appraisals in anticipation of a future value.

What's Next?

In a nutshell, understanding real estate valuation is key to a successful sale in Tulsa.

Make informed decisions, avoid common pitfalls, and always, always lean on local expertise.

And hey, if you ever need a hand, Measured Home Services is just a call away.

Looking for a tailored valuation?

Schedule Your Appraisal with us and let's ensure your home is priced just right!

Most people don’t know who to trust and what information you really need to make an informed real estate purchase decision and worried about making an purchase they will regret later.

At Measured Home Services, we show you exactly how much your home is really worth worth so that you can have peace of mind in knowing you are getting the best deal.