In today’s hyper-active real estate climate, there are plenty of reasons why a homeowner might want to receive an accurate estimation of their home’s value. They might be thinking about selling, and want to begin planning a pricing strategy. Or, they might just want to better understand how their home has appreciated in value over time.
Whatever the motivation, one of the best ways to determine the current market value of what is probably a homeowner’s biggest asset is to get a professional home evaluation. And in Toronto, there are a few key factors that substantially influence the results of a professional estimate.
Whether you utilize the services of a qualified real estate agent for your Toronto home evaluation or through a third-party home appraisal company, you can be sure the results of any Toronto home evaluation will weigh heavily in these four categories.
Location, Location, Location
You’ve heard the phrase a million times before, but in the real estate industry — especially in a competitive market such as Toronto’s — location really is of the utmost importance.
Which neighbourhood your home is located in is about as influential on the price tag of your home as any other factor, and will absolutely dictate the results of your Toronto home evaluation.
When a Realtor® conducts an estimate on a home’s current value, they also study the nearby amenities such as local schools, public transit, shops and grocery stores, parks and green spaces, and much more. Things like walkability, safety, and road traffic are also locational factors that play a large part in determining the current market price of your home.
Size And Style
Next, a Toronto home evaluation will examine the physical characteristics of your property. Here, your Realtor® will be taking into account all of those typical details you’d find on digital listings or feature sheets, like the number of bedrooms, bathrooms, parking spaces, and storeys, as well as the total square footage of your home and property.
A Realtor® will also factor in your home’s most appealing features, like a pool, fireplace, home office, kitchen features, or stylistic finishes. All of these features will contribute to the overall valuation of a home even though they may not necessarily appeal to all buyers.
For example, a home with a fully landscaped garden will be worth more than one that needs some yard work done. While some buyers might not care about what a home’s garden looks like, they’ll inevitably have to pay for it as it has objectively boosted the value of the home.
The Condition Of Your Home
While your home might look like a million bucks, Toronto home evaluations go beyond just the superficial. Home evaluations also scrutinize the overall condition and performance of your home in order to detect any concerning issues to do with its structural integrity or energy efficiency.
Over time, it’s only natural for a home to incur minor damage through the wear and tear of everyday life. However, in our temperate Ontario climate, homes tend to experience more extreme environmental stressors than in other markets.
During a Toronto home evaluation, a Realtor® will determine how prepared a home is to experience the harsh elements of our local climate. Homes that are winterized will result in a higher overall estimation of market value as they will require less upkeep in the future. The same goes for homes that have been repaired and regularly maintained during their lifespan.
Lastly, Toronto home evaluations also (unfortunately) need to consider external factors you have no control over when it comes to providing an estimate on your home’s value. Here, the most influential external factor on price is what your neighbourhood’s local micro-market activity is like.
For example, if comparable homes in your neighbourhood have recently sold for prices that exceed their estimated valuations, that could in turn increase the estimated value of your home. However, the inverse could also be influential — if homes are selling for below their estimated market value for whatever reason, that could decrease the estimated value of your property too.
For Realtors®, this part of a Toronto home evaluation is all about comparative properties and what insight they can draw from their recent and historic sales.
Are you curious to know what an expert’s estimated value of your home is? At Sidorova Inwood, our team of knowledgeable real estate professionals conduct accurate Toronto home evaluations frequently, and with fantastic results. Don’t wait for the market to move before you do — book your complimentary home evaluation today or contact us here.