If you’re curious about what your home might sell for in today’s market, a property appraisal is the first step. An appraisal is an informed estimate provided by a real estate agent, usually at no cost. It looks at recent sales, current buyer demand and your home’s features to give you an idea of what buyers may be prepared to pay.
It’s important to remember that an appraisal is not the same as a valuation. A valuation is a formal document prepared by a registered valuer, whereas an appraisal is an agent’s market-based opinion. Both have their place and we’ll explain the differences in more detail below.
When should you get an appraisal?
Many people think appraisals are only for those ready to sell, but they can be useful in a number of situations. If you’re considering refinancing, planning renovations, or simply curious about how your property stacks up in the current market, an appraisal can give you clarity.
By understanding where your home sits in the market, you’ll be better positioned to make smart decisions. Whether you’re deciding to hold off, sell now or invest in improvements, having an up-to-date appraisal gives you confidence.
Why an appraisal matters
The main value of an appraisal is the insight it provides into your home’s potential. Beyond just a price estimate, it’s a chance to learn what features are likely to attract buyers, what might hold you back, and how your property compares to others nearby.
Some of the benefits include:
- A better understanding of what your property is worth right now
- Insights into recent neighbourhood sales
- Identifying features that add or detract from value
- Practical advice on upgrades that could boost buyer appeal
- Guidance on whether the market conditions favour selling now
- Access to your LJ Hooker agent’s local knowledge and experience
Taken together, these points can help shape your selling strategy and prepare you for what to expect if you decide to put your property on the market.
Should you get more than one appraisal?
Yes – asking more than one agent for their opinion can be a smart move. Each agent will bring their own market knowledge, sales history and pricing approach. By comparing their views, you’ll get a broader perspective and a more reliable picture of your property’s value.
It’s also a chance to see which agent you feel most comfortable working with. Selling a home is a big step and choosing the right partner matters just as much as knowing the right price.
Doing your own market homework
An appraisal shouldn’t be your only source of information. Doing your own research helps you understand the bigger picture. Start by visiting open homes and auctions in your area. You’ll quickly get a sense of how many buyers are active and how long properties are staying on the market.
When you compare your home with others, look closely at details such as floor area, land size, the number of bedrooms and bathrooms, and the overall condition. A freshly renovated home will attract a different buyer pool than one needing updates, even if both sit on the same street.
Location is also key. Homes close to schools, public transport, or lifestyle attractions like beaches and parks often command stronger interest. Likewise, properties with premium features such as views, outdoor living areas, or eco-friendly additions can achieve a price advantage. On the flip side, factors like being on a main road, having limited parking or lacking natural light can pull prices down.
Your agent can help you weigh these features and show how they’ve influenced recent sales nearby. Combining their insight with your own observations will give you the best understanding of where your property stands.
Appraisal vs valuation – what’s the difference?
It’s common for homeowners to confuse appraisals with valuations. The key difference is that valuations are legal documents prepared by registered valuers, while appraisals are market opinions provided by real estate agents.
Valuations are often required by banks for lending and they involve a detailed inspection and report. They are also used in situations like family settlements, insurance purposes or legal disputes. Appraisals, by contrast, are free, fast and designed to help you understand your home’s selling potential.
Understanding market conditions
The property market is never static. At times, conditions favour sellers – when demand is high and supply is limited, competition pushes up prices. This is often referred to as a seller’s market, and it can lead to strong results at auction or quick sales.
Other times, conditions lean towards buyers. A buyer’s market happens when more homes are for sale than there are active purchasers. In this environment, sellers may need to adjust their expectations or price competitively to secure interest. Even so, with the right strategy, positive results are still achievable.
Take the next step with LJ Hooker
Whether you’re preparing to sell or just keeping an eye on the market, an LJ Hooker property appraisal is a smart move. It’s free, obligation-free, and provides valuable insights into your home’s position in today’s market.
Get in touch with your local LJ Hooker office to book an appraisal today and take the guesswork out of your property’s value.
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