House evaluation is a process that is used to determine the assessed value of a home and the real estate where the home is located. Tax assessors use this figure to determine the amount of property taxes due on a piece of property, while potential buyers can use the home evaluation as a means of ascertaining if the asking price for the property is within reason. When considering the house evaluation relevant to a specific property, it is important to consider factors such as size of the lot, the square footage of the home, and even if there are unfinished areas of the home.
One of the key tips with house evaluation is to identify the size of the lot associated with the home. Typically, larger lots mean higher evaluations, which in turn means higher asking prices. Assuming the home is located in a desirable area, the evaluation may assess the home at a higher rate, possibly one that is closer to the actual asking price.
Another important consideration with house evaluation is the amount of space within the home and how that space is segregated. The inclusion of more bedrooms, a larger kitchen or more than one bathroom will often have an impact on the results of the evaluation. Homes with more usable space typically carry an evaluation that is somewhat higher.
Finished versus unfinished space is another important component when it comes to house evaluation. Typically, homes with finished attics and basements are likely to carry a higher assessment value than homes with a significant amount of unfinished space. For potential homeowners who are competent carpenters, a home with unfinished space may be a good bargain, since both the evaluation price and the asking price are likely to be a little lower.
Various amenities included with the home can also impact the results of the house evaluation. Homes that include central heating and cooling equipment, hardwood floors, energy-efficient windows, ample insulation, and other desirable characteristics are likely to carry a higher evaluation figure. Those amenities also help to justify the higher asking price over a home in the same neighborhood that may have similar square footage but lacks central air and other elements that add to the desirability of the property. Potential home buyers should consider factors of this nature, determine if they are important and are worth the additional costs in terms of purchase as well as the assessment of annual property taxes, and then submit an offer accordingly.
