Most homeowners still remember how much their house cost when they bought it. But many are unsure about its current value. Setting too high a price might mean not finding a buyer, while setting it too low could mean missing out on potential income. Or could setting a slightly lower price actually offer advantages?
Just as an excessively high price deters potential buyers, a lower price generates significantly increased demand. More buyers give the seller more room to negotiate. For example, a bidding process can be implemented. This often results in higher prices than are typical in the market. Once someone has fallen in love with a house or apartment, they are reluctant to lose it to other bidders. This benefits the seller.
However, it is advisable to consult a real estate expert for this. Setting the right price requires expert knowledge, an understanding of the current real estate market, and extensive experience. To determine the optimal starting price together with the owner, many local market factors must be considered. This is only possible with an expert who deals with local price dynamics on a daily basis.
The valuation of a property is determined by various criteria. The most important include: location, plot size, proportion of common areas, living space, type of property, standard of fittings, year of construction, renovations and structural alterations carried out, the market situation, and special features.
There are three different methods for determining the value of a property, depending on the type of property: the comparative sales approach, the cost approach, and the income approach. The comparative sales approach is generally used for undeveloped land and condominiums, for which there are usually several comparable properties. When selling houses for which there are no comparable properties, the valuation is carried out using the cost approach. The income approach is suitable for apartment buildings and commercial properties where the focus is on generating income rather than owner-occupancy.
For an initial estimate of a property's value, online valuations can be used. These provide average values and price ranges in just a few minutes. However, be aware that average values can differ significantly from the actual value of your property. Whether a property's features are considered high-end or "standard" is subjective. Therefore, an on-site valuation by a local market expert is indispensable.
Would you like to know how much your property is worth? Contact us. We would be happy to appraise your property.
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