What is Your House Worth?
When you are ready to purchase a home the question is “how much house can I afford?” Once you’ve bought that house, the question becomes “how much is my home worth?” House value is important to home owners everywhere, and you should know what your home is worth. Here we’ll explain why it’s important, and how you can find it.
Why is it Important to Know the Value of Your Home?
There are a several reasons why you need to know the answer to this question. Deciding to sell your home is an obvious one. Knowing how much your house is worth for selling purposes gives you a starting point for listing and ensures you get the most out of selling it.
Even if you aren’t looking at selling your home there are other reasons why knowing the value of your home is important:
- Property taxes – This tax is calculated using a formula that includes an assessed value of your home. You could be paying too much or too little on your taxes. Understanding the true value of your home may benefit you greatly when the tax man comes around.
- Home equity loan or line of credit – Using your home’s equity can give you more financial options. For example, if you need to pay off high interest credit cards, medical expenses, or pay for home improvements or school tuition. Each of these scenarios may warrant the need for a home equity loan to cover your costs. Knowing the value of your home can help you calculate the possibility of qualifying for the loan or line of credit.
Find Your Property Value
Free online home appraisal is available through online tools within these home appraisal sites are a fast and easy way to estimate your property value. Some of these free home value websites for finding and estimating online appraisal are listed here:
Zillow – Zillow is one of the most popular websites for buying, renting and property information. It takes a few seconds to enter your address and get a “zestimate” of your home’s value. A zestimate on a home usually comes in a little higher than the other online competitor sites.
Realtor.com – This site is not just for finding homes for sale. You can enter your address and find a lot of details about your home, including an estimate on your home’s value. You can browse other homes in the area that are similar to your home’s price point, giving you a good comparison, and good idea of the average home value within your immediate area.
Eppraisal.com – Another free online home appraisal site that is easy to use. Eppraisal gives you a fair estimate of your home’s value, and includes estimates from other sites as well, like Zillow to show the difference & comparison.
These online tools use algorithms from public data like property tax information and recently listed homes. Each website considers location, square footage, and the number of rooms within your home when providing these home appraisal estimates. They can be fun and easy to use, but should only be used as a starting point for estimating a home’s true value. The only way to find an accurate home value is through a real estate agent or a licensed real estate appraiser/assessor.