06 tips on how to get an idea on the value of your property
6 tips on how
to get an idea
on the value of
How to get an idea on
how much your house is
Before contacting any estate agents, my advice is to do your
research so you have a good idea as to how much your house is
worth before you speak to any professionals. The figure you have
in mind for your property should be realistic and supported by
Let’s go through a few tips on how you can arrive at a realistic
valuation of your home.
There is no science to this but before you can make the decision
as to whether it is actually feasible to sell, you first need to have
an idea of your property’s value.
Base the figure on factual
evidence, not desire
One of the most common mistakes I come across is that
people (including estate agents) base their valuation on the
asking prices of similar houses in the local area which, believe
it or not, can sometimes be wildly inaccurate. As an example,
say there is a house for sale in your road which is similar to yours
and is currently being marketed at £400,000. You may have a
larger garden and newer kitchen so the natural assumption would
be that your property must then be worth at least £430,000,
02 / Perry Power / 6 tips on how to get an idea on the value of your property
here to offer
Don’t fall into the trap of being confused between the marketed price of a
property and what it’s actually worth. The other house may only have a true
value of £370,000, which would then make yours £400,000. Consider
that the other property may have sat on the market for a long time or
perhaps the owners were advised to market it at £30,000 over its true
value. This causes a vicious circle and leaves many properties stagnating
on the market.
The key to valuating a house accurately is to look at the recorded selling
prices of similar houses in your area, and then adjust the approximate value
of your property accordingly. The Land Registry is a great place to start.
You may also be able to find full details of most houses recently sold in your
area, by searching the rightmove archive. This helps to see what condition
the properties were in, so you can compare the prices more accurately to
that of your house.
I offer FREE desktop valuations on properties using this same method,
which help by giving you a rough guide to what sort of price you should
attach to your home.
03 / Perry Power / 6 tips on how to get an idea on the value of your property
Additional Power tip
Where possible, try and work off square footage. Most houses
recently sold or for sale will have a floor plan showing the total
Here’s how to work out the price per square foot:
Work out the square footage of your house and divide the selling/
asking price by the total square footage.
Multiply the square footage figure by the price per square foot in
your comparable house.
NOTE: It’s more accurate if your house is in a similar location to
the one you are comparing against.
04 / Perry Power / 6 tips on how to get an idea on the value of your property
For example, you have discovered that a 1300 sq foot house
a few doors down, sold for £400,000 four months ago.
400,000 / 1300 = approx £307 per square foot.
You have worked out that your house is only 1000 sq ft so
1000 x 307 = £307,000
The comparable house sold four months ago and you know from
The Land Registry that market prices have increased by about 4%
in that time so £307,000 + 4% = approximately £320,000
Your house was in slightly better condition than the other, so it
would normally be safe to presume that you could add another
10% onto the price, which would make the value of your house
This figure may not be the exact value of your house but it
provides a good platform for calculations and is certainly better
than plucking a figure out of thin air.
Look at your house
objectively from a buyer’s
point of view
Selling a house can be an emotional process. You may still
love your home but don’t be tempted into viewing it through
rose tinted glasses. Instead, put yourself in the buyer’s shoes
and be aware of anything which a buyer might view in a
05 / Perry Power / 6 tips on how to get an idea on the value of your property
here to offer
Get an idea for how
much demand there is for
your type of property
Rightmove.co.uk has a very useful tool for estate agents, called the
‘demand report’. This report enables them to see how many property
searches have been carried out on the site for a particular area,
property and price within a specified time frame.
This information gives sellers an indication of how many potential buyers
will see the property, when it is launched on the market at a certain
price. I have seen 10% differences in price result in a 25% difference in
demand. This all matters when deciding which marketing price to adopt.
If you would like me to carry out a FREE demand report on your
property, simply contact me.
06 / Perry Power / 6 tips on how to get an idea on the value of your property
Make sure you know what
Zoopla.co.uk says your
property is worth
Zoopla.co.uk is a huge source of information for property sellers
and buyers. The website estimates the current value of many
individual properties in the UK, based purely on their last sale date
and any market changes since that time. Often, buyers will look at
this information and use it to negotiate on price, so it is important
you are aware of it.
Unfortunately, the site is of course unable to tell if you have extended
or improved the property since you bought it, so its estimated value
of your home may be wrong. If you have made drastic improvements,
it is important that you make this clear at the beginning of the
marketing literature, so buyers understand quickly why you are asking
for more than the Zoopla estimate.
07 / Perry Power / 6 tips on how to get an idea on the value of your property
Look at similar
properties currently for
sale in your local area
Although it is important not to get too hung up on the marketing
prices of other properties in the local area, it is important to look
and see which properties you would be competing against, should
you place your property on the market today.
If your house were the only one on the market, there wouldn’t be
any problem. If there are four houses very similar to yours up for
sale however, clearly you are going to have to do something to
attract the buyers to your house so assessing the competition
would be useful.
08 / Perry Power / 6 tips on how to get an idea on the value of your property
Did you know: On average, 60% of property owners end
up having to change estate agents before eventually selling
their property with the average property selling for 21%
below the original asking price.
I have helped hundreds of home owners successfully
navigate the challenges of selling. With over 11 years
experience in the industry, I am now using that experience
to help you avoid the common pitfalls via eGuides, my
website forum, Podcasts and Webinars. It’s all FREE!
need more help?
No problem, get in touch and I would be happy to help.
09 / Perry Power / 6 tips on how to get an idea on the value of your property