If you have lived in your home for some time, you may be pleasantly surprised by how much it’s increased in value.
On the other hand, if you live in a less sought-after area, you may have unrealistic expectations about the sale price you can achieve. Either way, it’s important to have a house valuation first to know whether you’re considering selling your home for the right reasons.
There is still a strong expectation by Rightmove, that house prices in the UK will end the year 7% higher than they were at the close of 2021. Despite wider economic uncertainty and fears that rising fuel and food prices will send the country into a recession by the end of this year. This suggests that even in this current environment, you can still get a good price if you’re thinking of selling your house.
In this guide, we’ll go through why property valuation is important and the factors that can impact residential values.
Factors affecting residential property values
Alongside the fluctuation of property prices, there are many other factors that can affect how much your house is worth. This ranges from the area, the weather and local amenities, and even how much storage space you have! Here are a few others that may impact your home’s overall value.
In order to understand property value, you need to be aware that location plays a significant role in the entire process. It’s a statement you’ve probably heard from estate agents, and it’s a fact that cannot be denied. London, for example, has a much higher average home price than the West Midlands. It is partly due to the shift in regional salaries and the availability of jobs. But in some areas, it’s mainly because of supply and demand.
It is also possible for environmental issues such as air pollution and flood risks to affect the value of a property. As a result of many studies, it has been found that pollution can significantly affect the price of a home by as much as 15%. This can be a huge amount for those who are struggling to get market prices.
There is also a negative impact on the value of your home based on how susceptible the property is to flooding, especially if a flood has occurred at the property within the last three years.
There is almost always a higher price tag associated with homes located near top-rated schools. Quite often, it can have as much as a £20,000 impact on the sale price of a property. Now, this can be great if you are selling up, but if you are looking to buy… then not so much!
As a result of a recent study conducted by the Department for Education, it has been discovered that prices for homes near schools that perform well are generally 8% higher.
How to check the value of your home
Having gained an understanding of what is likely to affect your home’s value, you are probably ready for some hard-hitting facts and figures. If you really want to know what your home is worth in the UK regarding its market value, then it’s a good idea to arrange for a physical property valuation to find out the exact value.
Unlike many other estate agents at Open House, we don’t offer an instant online valuation. We believe it simply doesn’t do your home justice. Our expert valuers familiar with the local area will visit your home to take a realistic view of your property and give you a more accurate sales valuation.
We ask all our clients to complete the property details form here to start the process. A personal agent will be in touch to provide an estimated valuation and discuss arrangements for a home visit to determine the best valuation for your property.
Why should I get my property valued?
Property valuations are needed for a variety of reasons. You need to consider several things before making any major decisions regarding your home, such as selling, buying another property, remortgaging, making major home improvements, transferring ownership, releasing equity or renting it out. Knowing how much your home is worth should be your first step.
Selling: It is common for a property not to sell because of an excessive asking price, which is one of the top reasons for its failure to sell. It takes less than half the time for a home to sell when it is priced accurately from the very beginning than if it is initially overpriced and then reduced. So the key to a quick house sale is getting an accurate valuation.
Buying: To help you set a realistic budget for your next purchase, you’ll need to know the value of your current property in order to determine how much you can pay for the new one.
Renting: It is very important for you to get an accurate valuation of your property so that you can set a fair and competitive rent for your home. The rent on a property is usually around 6-10% of its market value, depending on the region.
Remortgaging: As soon as the fixed term ends, the borrower will be able to choose whether they want to stay with the current lender or switch to a new one. Before a new lender is willing to offer a loan on a property, he or she will want to arrange and conduct a proper valuation of the property.
Knowing the value of a home is not always easy. This is why thousands of home buyers and owners look towards estate agents like us to help them determine a property’s value.
Want to know how much your house is worth? Use our property valuations tool. It’s free and simple. Simply enter the details of your property, and we’ll let you know the price it would be worth if you wanted to sell it today.