Whether you are considering buying or selling, the question is always the same… what is this property worth? Well, it turns out there are a lot of factors and opinions that need to be looked at.
As an Agent, we consider a multitude of factors when it comes to providing an appraisal of a property or creating a sales and marketing campaign. Often, we are invited into homes as a representation of what the buying public may or may not perceive as value. Further to this, valuers provide both physical and desktop valuations of properties for lenders to approve loans by and instant automated valuations online are now readily available thanks to computer generated algorithms creating professional looking reports. Combine this with all the opinions of friends, family and neighbours, the range of value you end up with can be quite wide!
As a result of this, I have put together a list of factors that need to be considered with every property to help you determine what it is worth to YOU. I’ve then broken it down into three parts:
- What you CAN control
- What you CAN’T control
- What are the opportunities available
Lets start with the list of factors…
The Map to Property Value
- Location
- Building structure
- Fixtures and fittings
- The number and type of bedrooms (master, ensuites, built-ins, walk in robes)
- Property condition
- The size of the building/home
- Local Zoning
- The size of the land (including shape, size, aspect, accessibility)
- Street frontage or frontages
- Ease of access to the property (both pedestrian and vehicle)
- Planning controls and local council regulations
- Size, Layout, functionality and liveability
- Architectural Style
- Topography, layout of the land and positioning of dwelling on the land
- Market conditions (interest rates, inflation, consumer sentiment)
- Comparable sales
- Improvements to house and land
- Land Value
- Vehicle Accommodation
- Access to amenities and public transport
- Development and/or renovation potential
- Aspect
- Property History and Current use
- What is happening with adjoining lots, neighbours and immediate area
Now, lets break this down into controllables, uncontrollable and opportunities…
What CAN you control or change?
- Building structure and condition
- Fixtures and fittings
- Number of bedrooms
- The size of the building/home
- Vehicle accommodation
- Size, Layout, functionality and liveability
What CAN’T you control or change?
- Location
- Local Zoning (includes flood, bushfire, mine subsidence)
- The size of the land (unless there is opportunity to acquire neighbouring lots)
- Planning controls and local council regulations
- Land Value
- Comparable sales
- Market conditions
- What is happening with adjoining lots, neighbours and immediate area
- Access to amenities and public transport
- Aspect
- Property History and Current use
- Street frontage or frontages (unless there is opportunity to acquire neighbouring lots)
What are the OPPORTUNITIES to look for?
- Development and/or renovation potential
- Planning controls and local council regulations
- Aspect
- Access to amenities and public transport
- Topography and layout of the area
- Street frontage or frontages
- What is happening around the subject property and adjoining lots
I know, its alot to think about! Hopefully this is useful as a guide and feel free to reach out if you need a hand navigating your next property sale or purchase.