It's something I think all home owners wonder, how much is the house worth, has it gone up or down in value?
There are of course websites (which I won't name) that claim to tell you the current value of every house based on formulas and rough market data. I personally have never seen a correct one, but feel free to go off searching (and probably laughing).
There are some more accurate ways to find out the value and I'll try to explain the pros and cons of each.
The truth is there is no real hard and fast way to value property. As the saying goes, its only worth as much as someone is willing to pay and more importantly these days, as much as a bank is willing to lend on.
1. What are similar houses on the market for? Take this as a 'ball park figure' as situations and therefore prices vary but it will be a good idea of the value of the area. Good schools can drive up prices, planning permission for a big development of new houses can bring down prices.
2. What did the similar houses in the street sell for? The more specific the better for an accurate answer. There are several websites that tell you sold house prices. Beware that this information isn't completely accurate and not all sales seem to make it to the free websites and some figures are just wrong. Rightmove is my favourite as it sometimes links photos of the property from when it was last on the market so you can see how similar a property is. If you need to know the accurate figure that a property sold for, you can pay to find out from the land registry. Zoopla sometimes shows the marketing price for a house alongside the sold price, which can be useful too.
Also remember that the sellers situation can affect price; sometimes properties are sold quickly e.g. after a divorce so the property sells for a bit less or maybe a house was part exchanged, this can give a false value. Sometimes properties are bought cheaply because they need a lot of work and put back on the market, maybe for rent, and the 'done up' photos replace the old ones.
3. Ask a local agent. Most estate agents offer free valuations with no obligation to put the property on the market. I don't advocate wasting their time if you have zero intention of selling but definitely a good idea if you are thinking of selling in the not too distant future. Agents have access to much more detailed information about local properties, such as what price they were marketed at, how long they were on the market and what price they sold for.
As a warning about agents, I once had a property valued by 4 agents (all on the same day so nothing at all changed). The valuations were...£165,000 £190,000 £200,000 and £215,000. It was marketed at £190,000 and a sale proceeded at just over £185,000 and a surveyor for the lender was happy. I don't believe a surveyor would have agreed much over £195,000, and would have laughed at £215,000. Remember that if your buyer can't get a mortgage, chances are they can't buy your house!
4. Ask a surveyor. This option costs (unless you know a surveyor) and can cost a few hundred pounds. The funny thing about surveyors, is the their fee depends on the value of the property, so at the start of the conversation you tell them the value and 9 times out of 10, their value comes back the same. It's like magic!! Obviously sometimes they will find a problem such as damp or subsidence and reduce the value dramatically.
With a bit of detective work and a sprinkling of common sense, you can work out what your house is worth. Remember that there is no set formula. If you can't compare like for like in your area, take the closest you can and add or subtract value. For example, a bigger garden, an extra bedroom (as long as it is a good size), downstairs toilet would almost always add value, a tired kitchen or no garage would have less value than a similar one that did.
