Block Paving, Tarmac, Concrete and Slabs
How much is my house worth?
How much is My House Worth?
Are you wondering “how much is my house worth?” I have two answers for you. First, if you don’t really need to move, it is worth whatever you say it is. If you think, “I wouldn’t sell this house for less than $300,000,” then it is worth that much to you. If you need to sell it, though, what it is worth to you is irrelevant.
Market value is the only relevant value once you are ready to sell. This is the value according to all the home buyers out there. They don’t care what you spent renovating the house, or what you originally paid. Spend $50,000 adding a pool, and they may only pay $20,000 more for the home. Real estate is worth what the market says it is worth.
How Much Is My House Worth – Part One
To estimate the market value of your home, use “comparables.” This is how appraisers do it. Find at least three similar homes nearby that have sold within the last two to three months (these are your comparables). Also, plan on requesting current listings as some banks are actually looking at new listings for value since the markets tend to trend to the decline in value. This information is in county records (sometimes online now), or ask a real estate agent with access to the multiple listing service. Get the sales prices, terms of sale, description of the property, and other information.
Take your first comparable, write down the selling price, and review the description item by item. Add to the sales price of the comparable for each thing it doesn’t have that your subject home has, and subtract for each thing it has that your subject home does not have. This sounds confusing, but it will make sense once you try it a couple times.
For example, if your home has a second bathroom, and the comparable doesn’t, add the value of the bathroom to the sales price of the comparable. You’ll have to estimate what these things are worth, or ask for professional help. Sometimes it is just worth paying the price for an appraisal to get it done right, or maybe your local realtor can help.
You are rectifying differences, to see what the comparable home WOULD have sold for if it was just like yours. If a comparable sold for $242,000, with one less bathroom than your home, and a bathroom is worth $15,000 in your area (ask a real estate agent for help with these figures), then you ADD $15,000 for the bathroom it doesn’t have. Subtract, say $5,000, for the paved driveway it does have, that your home doesn’t have. $242,000 plus $15,000, minus $5,000 gives you a comparable sales price of $252,000.
Do these with each comparable, then average the three comparable prices. If, for example, the three comparables now have adjusted sales prices of $252,000, $262,000, and $249,000, add the three figures and divide by three. The indicated value of your home is $254,300. This is about what it should sell for.
I have an extensive background in Residential and Commercial Lending, and have been a top producer. I handle refinancing, purchase loans, conventional, jumbo, FHA, VA, and USDA in many states.
With the market changes, I began receiving requests for loan modifications for a variety of reasons, job loss, job change, medical conditions, etc. So, I invested time in finding the right help for these requests. I did and continue to research and add Attorneys that have the following qualifications:
* Extensive experience in the loan modification business.
* Have an excellent reputation and are licensed.
* Provided up front prequalifications for free so that my client new early on if there was a chance for a loan modification and also if it made sense. Not all loan modifications that are negotiated make sense and really help clients, so an affordable payment is important!
* Had good communication processes so that clients are updated every other week. I was concerned that my clients would feel alone during the process as it can be lengthy, up to 90 days and sometimes longer. So, communication is the key and I believe one of the most challenging aspects of modifications.
* Provide help in most states.
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