A home's value is dependent on multiple factors, those that are tied to the property and external circumstances, like the state of the economy and capital markets.
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GOBankingRates spoke to several professionals in the real estate space to determine which factors impact your property value and why it matters to have a thorough understanding of them.
Location
One of the most important factors driving pricing is a home's location. George Ratiu, senior economist at Realtor.com, said a property in a desirable location is likely to carry a higher value.
Desirability, however, may vary depending on buyers. "While historically, homes in close proximity to downtowns or employment centers carried higher values, there were periods when downtown living was not as desirable and property values reflected that shift," said Ratiu. "Conversely, some properties are highly-valued specifically because they are far away from busy downtown areas such as rural estates and ocean-front homes."
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Size
The size of a home can impact its value. Kevin Bazazzadeh, founder of Brilliant Day Homes, said generally a larger home will be worth more than a smaller home.
"Buyers will almost always be willing to pay more for a home that is big enough for their needs and ready to be moved into without needing repairs or renovations," said Bazazzadeh.
Age and Condition
Age and condition are also likely to influence the value of a home. Newer homes tend to carry higher values than older homes.
Additionally, homes with in-demand floorplans and amenities are also more likely to see higher values. Ratiu uses the example of a home with an open floorplan that also has a dedicated home office, high-speed internet access and ample garage space. These features have grown in popularity during the recent remote work period, meaning the home would command a higher price.
Source: yahoo.com