The value of your house is not only shaped by the home itself. If you’ve ever looked into how your BC Property Assessment is calculated, you’ll know that the neighbourhood can also affect the market value of your home.
When you hire a Realtor® to sell your home, they will do a Comparative Market Analysis to give you an idea of what your home is worth. This will also reflect the advantages and disadvantages of your location.
A buyer is not only buying a house; they’re buying into a lifestyle. They’re making a decision to live in a rural, suburban or urban area, near work, schools or other amenities. The more demand there is for a particular neighbourhood or property type, the more the value of your property will increase.
The following neighbourhood features may add value to your home and increase interest from buyers:
- Low crime rates
- Tree-lined streets
- Scenic views
- Nearby services with good reputations e.g. hospitals, schools
- Access to recreation and entertainment e.g. parks, trails, restaurants, cafes, shops
- Distance from noisy areas such as highway traffic
Selling in a Less Desirable Area
If you are selling a home in a less desirable neighbourhood, the value of your home may increase more slowly than popular areas, but you won’t necessarily have a problem finding buyers.
Some buyers consider homes in less desirable areas because they are looking for a great deal, a starter home or an investment property. Hire a Realtor® to help you identify serious buyers for your property type and neighbourhood.
If a potential buyer asks whether there have been any issues with the neighbours, your Realtor® will most likely recommend sharing the facts, but not your opinions.
For instance, if you hate your neighbour because he put up a fence without your permission, and that has led you to believe he’s stubborn, arrogant and impossible to deal with, the buyer should be told there was a disagreement over the addition of a fence, but there is no need to bring your opinions into it. After all, the new homeowners may get along very well with this same neighbour and not agree with your assessment of his character.
Development that Negatively Affects House Values
Unfortunately, not all new developments have a positive impact on home values, and this may lead to a shock if you discover the market value of your home has decreased. In some instances, you may want to seek legal advice to find out whether you are entitled to any compensation. The good news is, this situation doesn’t mean you won’t be able to find a buyer, but you may have to price your home more competitively to do so.
When you’re ready to sell in the Prince George area, the expert Realtors® at Team Powerhouse Realty would be happy to discuss your house value with you.