Monty isn’t just a dapper tweed-wearing handsome Fox; he is also a wealth of knowledge when it comes to the world of property. He is on hand to dispense hints and tips on house sales and property rentals to would-be smart Foxes and Vixens in his fortnightly House Column.
This issue, Vicky from Queens Park asks, “How reliable are online property value estimations? I recently put an offer in on a house but the online valuation estimated the house at £20,000 below what I have just offered!”
We all like to use the property websites to see what our property may have increased in value since we bought it or what rental income we could expect to see if we began letting out our home. So I don’t blame you for having a little look to see how your offer measures up. The thing to remember is how these websites reach the estimate. The last sold price is taken, information readily available from the Land Registry, and then this is multiplied the average increase/decrease of other properties in the area. This then churns out an estimate of what the property could be worth based on minimal information. This is very different to the actual value of the house, which ultimately lies in what someone is willing to pay.
Foxes Sales & Lettings do not use these estimates as a tool to value property; rather they favour local knowledge, experience in the market as well as looking at very recently sold like-for-like properties in the area or same road. Before they visit each property they spend time researching the property and compile bespoke printed data on sold prices and comparable properties, which they then take to discuss with the potential vendor and leave with them to look through in their own time. Ultimately, every property is as individual as the home-owners themselves and the value of which cannot be predicted by an online system.
You say the online valuation is lower than what you have just offered, but the online valuation cannot tell you what renovations or decoration has been done since the last sold date. New windows, driveways, landscaping, extensions etc may have dramatically driven up the price of your soon to be home. You must have been happy with the property when you viewed and keen to put in an offer you felt was reasonable for the property before seeing the online estimate, I would keep this in mind and Good Luck in getting your offer accepted!
Every issue you’ll find that Monty has hidden himself on a page of House magazine – if you find Monty you are in with a chance to win a prize! This issue Foxes Sales & Lettings are giving you your very own Monty the fox – email firstname.lastname@example.org with the page number that you found Monty on to be entered into the draw. Good Luck!
Foxes Sales & Lettings
t. 01202 299600
a. Pars House, 2 Poole Hill, Bournemouth, BH2 5PS