How much is my house worth?
First of all get as much information as possible. This includes valuations from multiple agencies, using on line tools and doing your own research. Knowledge is king.
The best guide of course is what other similar houses have sold for in your area in the recent past. When interviewing agents, make sure they can justify their valuations with data. Be cautious if they can’t do this. It may indicate a lack of local knowledge.
Start by understanding the local market and how much similar houses have sold for.
You can do this by calculating the price per square meter. Zoopla and Rightmove show the area of a house will be shown on the floor plans. Divide the price of the house by the square meter area.
This can then be used to build a table of similar properties. This will act as your guide. We have set out an example below. Note that we have included a comments section. You can list anything which makes the property more or less attractive.
Price Area Sqm Price/sqm Comments
9 Emerald Square £375,000 157 £2,389 large garden
26 Connaught Ave £400,000 180 £2,222 great decoration
13 Northcote Road £410,000 195 £2,102 noisy road
60 Melson Street £380,000 175 £2,171 small bedrooms
You can use this method to test the valuations given to you.
- Use this data to interrogate your estate agents to make sure they truly know your market
- Get the estate agents to give you as much evidence about recent market activity as they can provide to support their valuation
- Use our Valuation Tool to get a market estimate for the value of your type of house
Once you have arrived at a valuation, consider adding 5% or so for the inevitable negotiation which will happen