| Factors that can affect the Value of Your Property
Home prices can differ substantially. Factors range from economic and common sense, through to intangible factors.
Position – Position – Position
There is probably nothing that influences a property’s price more than it’s position. Including.
- Suburb / Street / Position on Street / Views & Outlook
- Amenities / Transport / Shops / Schools close by.
Known as Comps. Properties in your neighbourhood that are comparable to your property, and have recently sold.
Your agent may provide you with a C.M.A. This is a comparative market analysis report to assist in valuing your home.
It is important to compare with actual sold properties.
Not with list prices. Properties are only worth what people will pay for them. Comps must also be comparable to yours in position / age / condition / size / land / number of rooms and the like.
Supply and demand of housing has a substantial influence on prices. This can be quite geographical. Where homes in one area have a different supply and demand scenario, than in another area.
If there’s an availability shortage home prices will normally rise. If homes in a neighbourhood are in low demand and properties are selling for less than the asking price, expect values to drop.
Maintenance is a major factor that can affect a home’s value.
2 properties with identical position, size, rooms, and land. Can have vastly different values. Because of their differing conditions. Well maintained properties, of course, demand a higher value. So it is important to keep your house well maintained and in good condition.
Potential for renovation.
This maybe minor or a complete renovation. Often buyers will want to do some degree of renovation. So the potential for the buyer to improve and personalise the property can have a bearing on the property price.
Movements in interest rates can affect the value of property. Interest rates can have a huge impact on property affordability. Lower interest rates equal better affordability, which pushes up demand and in turn increases house prices. And likewise higher interest rates can have downward pressure on housing prices.
Infrastructure development in the area is another major factor that influences property prices. If there are major infrastructure projects happening close by, you will generally see a higher demand for property and in turn an increase in property values.
There are many more in-depth factors that can also affect the value of your property.
Please talk to us for a consultation.
Disclaimer: Although all care is taken. We do not give any warranty whatsoever to the accuracy of any content.
This is not meant to be financial or professional advice and is only of general nature. You must seek professional advice before taking any actions. The above information comes with no warranties whatsoever. We take no responsibility for any actions you may or may not take. All content is of general nature only and is NOT to be taken as advice whatsoever
0414 339 299
Sally Gillman is the owner of Shields Gillman Real Estate.
A Forest resident for almost two decades, Sally enjoys her involvement in the community and has a passion for the area, evidenced by the agencies’ ongoing sponsorship of the Forest Rugby team.
It was this passion that prompted her in 2014 to move her highly successful Eastern Suburbs agency of 20 years to Forestville and bring her considerable property expertise with her.
As a family owned business you can be assured that you’re always dealing with the business owner, you’re treated as a valuable client and receive the personal and professional service that we’re renowned for.