Now the real estate market in the Mackay Region is on the up-and-up again, it’s a great time for home-owners to consider their options.
However, you should always look before you leap. The first thing you need to investigate is the value of your property.
This is where independent advice from an experienced real estate agent comes in handy.
Valuation versus Market Appraisal
Many vendors are confused by the difference between a valuation and a market appraisal.
Valuations are formal reports issued by independent property valuers. In Queensland, all real estate property valuers must obtain professional qualifications and be registered with the Valuers Registration Board. Valuations are calculated by examining historical sales data and specific aspects of the property to determine the value. They are sometimes performed on behalf of a lender and are used by the lender to ascertain whether they will advance finance to the applicant. There is a fee attached for a formal valuation, however some lenders offer them for free, but usually with strict conditions.
Market appraisals are conducted free of charge by real estate agents. Vendors often choose to have several different agents appraise their property, and this is a smart move. Appraisals from different agents can be similar or vary widely, but remember that the highest appraisal value is not necessarily the most accurate and can be more wishful thinking than accurate forecast. As a potential vendor, you need to assess all the information given to you by each agent and settle on one you can trust.
When conducting a market appraisal, a real estate agent will visit your property and assess it based upon their experience in the market using such elements as the sold prices of similar properties in similar locations in recent months; the property’s location, size, and features; and local property market trends.
Why you should have a market appraisal
Obtaining a market appraisal costs you nothing and comes with no strings attached. They are a great way to obtain a clear picture of where your property sits in the local market.
An appraisal is a simple way to get to know real estate agents. You are under no obligation to commit to a particular agent after receiving an appraisal. You may even decide not to proceed with the sale. However, it will give you the opportunity to assess agents’ attitudes, their knowledge, and if they have your best interests in mind. You’ll also be able to see if an agent is the type of person you’d like to work with in selling your property. Ask them questions about their appraisal: How did they arrive at the price? How would they take the property to market? What advertising strategy would they recommend?
A market appraisal is a great tool for finding the right real estate professional to take your home to market and obtain a successful sale.