If you’re looking to invest in real estate, getting an online property valuation is the main cornerstone of a sound real estate investment. It helps investors identify potential properties that provide great returns.
An accurate online property valuation ensures that you invest in properties in promising locations, with actual growth potential, instead of overvalued properties in subpar locations that might not yield good returns.
In this article, you’ll learn all about property valuations, and how to get an accurate property valuation online using our AI-powered Assetscan tool, giving you real-time value of your real estate investment.
What Is Property Valuation & Why Is It Important?
Property valuation is the process of determining the current & future worth of a property. This takes into account various factors such as location, condition, size, and market trends.
Property valuation is very important for real estate investors, and property owners, whether looking to buy, sell, or invest. Knowing the accurate value of a property helps in making informed decisions and ensures you are neither overpaying nor underselling.
Understanding Online Property Valuations
Before getting into how you can use online property valuation platforms like ours, let’s see what it means. Online Property valuations use artificial intelligence-based algorithms & past data to value properties.
This data includes information about recent sales in a similar location, characteristics of the property & the location, and other market trends to make an accurate estimation of the property value.
Step By Step Guide To Get The Most Accurate Online Property Valuation
1. Use Multiple Sources
Relying on one website for your property’s worth is like deciding to buy something based only on one review.
Different platforms use different algorithms and sources of data, which leads to varying outcomes. By using multiple websites, you can compare the appraisals and get a more balanced view.
Our platform Assetscan, provides AI-powered accurate property valuations that can empower you to make good real estate investment decisions.
2. Input Accurate and Detailed Information
To have the best possible online valuation, you must make sure that the data you enter is accurate. Property valuation platforms often ask users to enter the pin code, budget, and answer a series of prompts.
Do this by:
Updating Renovations and Upgrades: If you have added a new bathroom or done some kitchen remodeling, these are important factors that can affect the value of your home.
Provide Correct Square Footage: This is a crucial metric for appraisals. Ensure that the square footage stated for the property includes all liveable areas.
3. Check Comparable Sales (Comps)
Internet valuation tools often use the method of similar property sales in your area (comps) to determine the value of your house. You can check these comps yourself and see if they really match with your property. Look for:
Location: Properties in the same neighbourhood or even on the same street.
Size and Layout: Similar square footage, number of bedrooms and bathrooms.
Condition and Age: Homes of similar age and condition.
4. Consider the Local Market Conditions
Location, location, location. A city that is flourishing could have a real estate market that is not moving in another city. Online instruments may not always be up-to-date and show the most recent circumstances of the market. Check local listings and have conversations with real estate agents present in the area to comprehend the market’s direction.
5. Look at Trends, Not Just Numbers
While valuation tools give you a freeze-frame, it is also important to think about the changes that happen over time. For instance, are property values going up, staying the same, or going down in your location? Some websites provide past information which can help in understanding where the market is heading.
Common Pitfalls to Avoid
1. Ignoring Unique Features
Online tools may not get the full significance of unique property features, like custom designs, premium locations within a neighborhood, or historical significance.
You, as the seller or investor, have to make sure that these are accounted for during any real estate investments or sales.
2. Overlooking Market Fluctuations
The real estate market doesn’t wait for anyone. It can fluctuate due to seasonal changes, economic or political volatilities, or local business developments.
Don’t rely on an online valuation that was done 6 months or 1 year ago! Regular updates on the property valuation and checks are necessary.
3. Getting Carried Away By The High-End Estimate
It’s easy to get excited about a high valuation, but focus on the average or median values provided by a couple of different sources. This approach gives a more realistic picture of what you can expect.
Bottom Line
In today’s day and age powered by tech & AI, online property valuation platforms are incredibly useful tools that give you access to a lot of data quickly and give accurate property estimates.
To get the most accurate valuations, it’s best to combine online property valuations with local market insights. This will allow you to get a clear and accurate picture of the value of your property.
At Assetscan, we use our AI-powered tools to deliver accurate and valuable property insights. Assetscan assist buyers & sellers in getting real-time property valuations & location trends that reflect the latest market conditions to help them wise and confident real estate investment decisions.
