Two people are ready to sell their home, which person are you?
Person A: I’ve never sold a property before, but I’m ready to take the leap. Tell me one thing, are Real Estate Appraisals worthwhile? Surely, no one would know my property better than I do?
Person B: I’ve previously sold property, but I’ve never been truly convinced that appraisals are worthwhile. Can you convince me?
You’re always either an A or a B!
Yes. Some people do know your property better than you may think that they do.
Firstly, appraisals are a useful way for property owners to determine an estimated value for their property. Additionally, it provides an opportunity to get to know your chosen Real Estate Agent, to see if they are the ‘right’ fit to sell your home.
Real Estate agents and salespeople are not registered valuers; their appraisals simply indicate what your property could be worth in the current market/s. They provide you with a greater understanding of what price to list your property based on their access to historic and current sales data.
At the end of the day, the market will always have the upper hand and is always the main determining factor regarding the price that the property sells for, but it’s always great to have a preconceived idea as no one wants to undersell their home!
Can you trust a Property Appraisal from a Real Estate Agent?
No, not all the time.
Previous cases have found salespeople to have ‘brought the listings’ in Real Estate terms. Meaning they have appraised high property prices, and in-fact, have given the Vendor false hope of what their home is worth.
At Rise, we provide honest feedback based on our knowledge and back this up with evidence, like past sales tools and market knowledge. We will tell you honestly where your property sits within the current market.
We may need to reassess at times, but we regularly keep you up-to-date on what is happening in the market so that we can make informed decisions.
See what our clients have to say about us!
How are Property Appraisals developed?
- Firstly, comparisons are made between historical and current sales statistics from The Real Estate Institute of New Zealand (REINZ) and the current listings.
- Secondly, we look at all current listings that showcase similarities to your listing: Age, Size, Bedrooms, location, Capital Values, etc.
- A combination of both of the above.
All points and sourced information are then combined, in accordance with our market knowledge and current property market forecasts, to determine and provide an overarching price range for the property.
In theory, Real Estate companies really should be providing similar appraisals, based on the fact that they all have access to the same statistics. Yet, based on individual assumptions and opinions, there are, more often than not, some differences in appraised price ranges.
Hence, property appraisals should only be obtained as a guide, and if you’re looking for a more precise valuation, a registered valuer is recommended.
However, at the end of the day, it won’t predict what the market will pay; the buyers are the only ones who can predict this.
Property appraisals are important and worthwhile, no matter what stage of the property market you’re in or your previous experience. The most exciting part being, is that they’re FREE, so what do you have to lose? All you have to do is contact Rise to organise a suitable date and time.
Property appraisals are important and worthwhile, no matter what stage of the property market you’re in or your previous experience. The most exciting part being, is that they’re FREE, so what do you have to lose? All you have to do is contact Rise to organise a suitable date and time.
