With online websites such as Zillow and Trulia becoming popular real estate resources, homeowners often put too much weight on the valuation they provide. Your best tool for the most accurate home valuation is always a trusted and knowledgeable real estate agent. There are several things your real estate agent will consider when making a home valuation. We’ve listed them below:
Location, location, location
Home values can vary from street to street, or even sometimes homes will differ greatly a few doors down in the lakes area. Comparing apples to apples is especially important in this regard. An automated service like Zillow will use comps based primarily on location and proximity to your home. It is important to take many factors of location into consideration, but also to utilize a larger neighborhood scope when finding comparable homes.
Another flaw of sites like Trulia and Zillow is that they do not take into account the interior of your home and the updates and improvements you may have done over the years. A market analysis should always consider updates because they add value to a home. A home with a completely remodeled interior should be valued very differently from one next door with no improvements. A realtor is able to accurately compare homes based on features.
One of the best tools your realtor has access to is the MLS database which provides details on comparable homes. Your realtor should be very familiar with using this as a tool to help accurately value your home.
One of the best tools you have, however, is your real estate agent’s expertise and experience. No online resource can provide that, so it’s important to take the information you receive from these sites with a grain of salt until you speak to your realtor.
If you need a comparative market analysis for your home, contact us at 218-820-7355. We look forward to talking with you!