Top 3 Factors That Improve the Valuation of Your Listing

Understanding your home or your property’s valuation can be very tricky when there are so many contributing factors to the overall number. You have to take into consideration elements such as property age, size, and more. Some of these key details can be improved, while others are inherent pieces of the listing such as location. However, if you make your initial purchase armed with the best knowledge of valuation, not only will you enjoy your property, but you will also be able to list it for a higher price when you choose to sell. 

Keep reading for some key factors that may contribute to your home’s valuation, and let my team and I guide you through this process with our many years of experience and knowledge. Additionally, if you’re interested to discover how your current or prospective neighborhood matched up against the rest in Q3, I will share some market statistics below for you to review.

Improvements

One of the best ways to increase your home’s value is to make structural and aesthetic changes to the indoor and outdoor spaces. First and foremost, a great way to increase value and attract prospective buyers is to upgrade your home with high-end finishes. This could include more expensive updates such as replacing your kitchen appliances with stainless steel or upgrading to quartz or granite countertops to give your kitchen a fresh feel.

Another option, especially if you have extra cash to spend in order to get a larger return on your investment, is to get new energy efficient systems installed in your home. This will not only improve the future energy bills for a prospective buyer, but it can make the space more enticing to those concerned with environmental footprint. 

On the exterior of the property, there are also some upgrades that you may want to consider. These include improvements that enhance your home’s curb appeal and a refresh of the overall landscaping appearance. In terms of the curb appeal, options to consider include repairing or painting wood, brick, or vinyl siding, purchasing a new front door, or even installing new lighting on porches. If you’re looking to update your landscaping, consider reseeding any lawn spaces, weeding flower beds, or planting small shrubs. 

Location

It’s the age-old phrase, “location, location, location,” but it is true that where your home or property is located is a major factor that determines valuation. The notion of buyers or prospective investors looking for a certain location is much more than a few simple reasons. Consider this, those looking to purchase a single or multi family home as prospective investors or lessors may be looking for location in terms of level or noise or proximity to night-life, while buyers may be more interested in the nearby schools and safety for their family. 

On the other hand, if you’re looking to entice prospective investors to purchase your property, things to consider in terms of location are any tax credits they may receive in the area, municipal laws for building use, and even opportunities to expand their building’s size down the line if they so choose. If the initial owner or builder does not take into consideration possible expansion of commercial spaces too close to residential homes this could decrease the resale value of the property. 

Property / Building Size

The final consideration for home valuation on my list is overall square footage, which accounts for things like usable square footage, potential to grow the size of the building or property, and the downfalls of wasted space. One key detail to consider is the idea of usable square footage, which takes us back to home improvement opportunities. If you have an unfinished or semi-unfinished basement, being able to upgrade that space to an additional living room, in-law suite, or home office can increase your home’s overall finished square footage. Therefore, this would increase the overall valuation and appraisal. On the downside, if the property is suburban and includes a large hill or unusable wooded area beyond that is included in the lot size, this could cause the value to decrease. 

Speaking in terms of investor opportunities in the city or surrounding suburbs, the square footage can also determine whether or not the property can legally be divided into separate units or even parcels down the line. If a prospective purchaser can see the opportunity to grow within the space and generate more revenue they will instantly be willing to spend more to acquire the property. 

Ready to learn more about the current real estate market? I am pleased to share the local market stats for Q3 2021. Click here, and you will find statistics for both the local counties in and around Philadelphia, specific neighborhood statistics, and statistics for the suburbs surrounding the city. For a better understanding of how these statistics can contribute to your future transaction, contact me and let’s chat.

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