Two similar homes can sell at wildly different price points — but why? If you’ve spent any time looking at Nashville, Franklin or Brentwood real estate listings, you’ve noticed homes for sale all over the price spectrum.
There are several factors that determine how much an individual home is worth, and what adds value to one may detract it from another.
One thing that you need to know is that other home sales can directly affect yours.
How Other Home Sales Can Affect Yours
Your Realtor(R) will give you a free comparative market analysis (you’ve probably heard this referred to as a CMA) that helps you determine the right price for your home.
The CMA is an incredibly helpful tool because your home’s value is directly related to current market conditions in your city and even within your neighborhood.
Other factors that can affect your home’s value — either in a positive or negative way — can include:
- Foreclosures in the neighborhood or nearby
- Location in respect to community amenities (as well as whether new shopping centers, entertainment venues or other amenities are planned nearby)
- Logistics such as community safety, commute times to nearby cities, and access to public transit
Upgrades you’ve made in your home can affect its value, but not always in the way you think they will; if you have the biggest, most modern house in the neighborhood, it may not be as easy to sell as it would be in a neighborhood full of comparable homes.
Naturally, some of these things are out of your control. Unfortunately, that means it’s not always easy to predict how much your home is worth without a current market analysis. Because some of these things can change in a short span of time (such as the bank foreclosing on the home across the street or the city unveiling a plan to build a freeway just outside your neighborhood), it’s important that you only rely on current data from your Realtor when you’re pricing your home.
Are You Selling a Home in Williamson County or Davidson County?