Determining a consistent price: The valuation of a home is an important step in the process of selling real estate. The selling owner has no interest in overvaluing or underestimating his home, otherwise the visibility of his home will be degraded.
To set a “consistent price”, it is necessary to evaluate a certain number of criteria objectively and impartially about the memories and good times one has built within this accommodation with one’s family or friends.
except in the case of the valuation of an investment property … On the other hand, the buyer wants to get “the good deal”. On the other hand, the owner wants to sell at the “best price”. We may ask, exactly, what is a good selling price?
How to estimate the price of real estate: The estimate for the seller
For the seller, it is often above the market price. The owner, who has an emotional relationship with his home, tends to lose objectivity and transparency. He is all the more biased since he generally wants to gain capital to buy another main residence or even invest in an investment property.
Between the two estimates, there is the “just consistent”. The one that allows you to sell a home within the average time frame (82 days in the Ile-de-France region and 92 days in the provinces according to statistics experts Statista ).
The environment is a starting point for a property valuation. In the same city and sometimes even in the same neighborhood, we can observe price differences of around 15%.
The environment, the attractiveness of the area, the reputation of the neighborhood, the presence of local shops, good schools, the feeling of security, and the development prospects of the territory. All these elements influence the setting of the price of sale and will therefore be taken into account in the estimation of your property.
Some defects are expensive when sold
The characteristics of the accommodation and the building influence the sale price which is not to be confused with the market value of a property. To estimate a property, evaluating the strong points and weak points of the property allows you to determine a fair price per square meter.
In general, we start from the average price prevailing in the building, which we weigh according to the advantages of the home, we talk about a premium and its defects, and we then apply a discount
Once the analysis is completed, we obtain an average price per square meter which we multiply by the total Carrez Law surface area of the housing.
Real estate agents: evaluation tools allowing them to work with complete objectivity
For example, a view of a monument, the sea, or a mountain will increase the price per square meter by 5 to 20%.
For a pleasant orientation: south-east or south-west, count 3 to 5% more than for accommodation facing north, and finally, for a superb terrace, the valuation can reach up to 15% of the m2 in the estimate of your property (especially following the Covid-19 pandemic).
Conversely, a ground floor will sell for up to 25% less than a similar accommodation in the same building but located on the 4th floor. Allow a 30% discount if the accommodation must be renovated in its entirety and up to 20% if it is poorly arranged, such as rooms in a row or even poor layout: a large entrance followed by a small living room.
DVF: more objectivity during an estimate
To help you estimate your property, DVF is a tool developed by the General Directorate of Public Finances (DGFF) which lists 20 million transactions.
Patrim Users will not provide you with an estimate of your property but will tell you the prices at which properties near you have been sold.
This service, accessible on the website www.impots.gouv.fr, is not a tool for evaluating the price per m2 of real estate. It allows you to know how the tax administration proposes an approach to the price of the market value of a home, to calculate inheritance tax or the solidarity tax on wealth (ISF).
Contact an independent and family real estate network
Today, properly valuing your house or apartment is essential, as potential buyers are better informed than before. This is why we recommend that you go through a trusted partner.
With a database of more than 60 million transactions over the last 5 years and local real estate advisors, the OPRIXFIXE network offers you a free real estate valuation at home and a complete value opinion to better organize your real estate transaction as quickly as possible. and price.
Read also: The Process of Selling a New Home