Understandng Your Home's Value
All of us are curious about the exact value of our home, but every home, street and seller’s situation is different which makes it difficult to estimate. I think the best we can aim for is a range and the only way to know for sure is when we put it on the open market. There are multiple ways to estimate your home’s worth—some more accurate than others. Here’s a breakdown of the most common methods:
1️⃣ Property Tax Assessments
Many homeowners look at their property tax assessment to gauge their home’s value. However, Arlington’s tax assessments are often a year behind the market and may not reflect recent market trends or improvements made to your home. You can check your assessment here.
✅ Good for: A rough baseline estimate
⚠️ Not ideal for: Market-based pricing, as assessments can be outdated or inaccurate
2️⃣ Online Home Valuation Tools (Zillow, Redfin, Realtor.com, etc.)
These websites use automated valuation models (AVMs) to estimate your home’s worth based on recent sales, market trends, and public data. However, they don’t account for your home’s condition, upgrades, or unique features. You should definitely check Homes.com (preferred), Zillow.com, Redfin.com, Realtor.com and see the evaluations – that’s what the buyers are going to be looking at. Pay attention to the value ranges – if you have fewer updates think lower, if you remodeled your home consider higher.
✅ Good for: Quick, easy estimates
⚠️ Not ideal for: Precision—values can vary widely across platforms
🔹 Example: Your home may be valued at $1,000,000 on Zillow, $950,000 on Redfin, and $850,000 on Realtor.com—which one is correct?
3️⃣ Neighborhood Comparables (Comps)
A more reliable way to determine market value is to compare your home to recently sold properties in your neighborhood with similar:
- Size (square footage)
- Bedrooms & bathrooms
- Condition & updates
- Lot size & location
Which websites have this information?
Homes.com has a great SOLD property search feature that shows you agents who participated in the transaction as well.
Redfin.com has a SOLD home feature and are able to pick how far back you want to look.
Zillow.com just dumps all the sales in the area – not sure how far.
✅ Good for: Getting a realistic market-based estimate
⚠️ Requires access to recent and relevant sales data
🔹 Tip: Look for homes that sold within the last 6-12 months for the most accurate comparison.
4️⃣ Real Estate Agent Comparative Market Analysis (CMA)
A Comparative Market Analysis (CMA) is a professional valuation prepared by a real estate expert who knows the local market inside and out. This approach includes:
- A review of recent sales & active listings
- Adjustments for home upgrades, condition, and market demand
- A pricing strategy based on buyer behavior
✅ Good for: The most accurate pricing strategy
⚠️ Best done by an experienced real estate agent
💡 I provide a personalized, data-driven CMA to help homeowners maximize their home’s value. Request Your Free CMA
5️⃣ Home Appraisal (For a Precise Market Value)
If you need an official valuation, a licensed home appraiser can conduct a detailed inspection and provide an estimate. Appraisers are also people who might or might now know the local area well – so it’s not 100%.
✅ Good for: Selling, refinancing, or removing PMI (private mortgage insurance)
⚠️ Cost: Usually $500-$700, paid by the homeowner
🔹 Did you know? Lenders require appraisals for mortgages, but appraisers don’t set the market price—buyers and sellers do!
📊 What’s the Best Way to Determine Your Home’s Value?
| Method | Accuracy | Cost | Best For |
|---|---|---|---|
| Property Tax Assessment | Low | Free | Rough Estimate |
| Zillow, Redfin, Realtor.com | Medium | Free | Quick Check |
| Neighborhood Comparables (Comps) | High | Free | Market-Based Estimate |
| Real Estate Agent CMA | Very High | Free | Selling Your Home |
| Appraisal | Highest | $500-$700 | Refinancing or Legal Valuation |
📞 Get a Personalized Home Value Estimate
Want to know what your home is really worth in today’s market? Let’s talk!
📅 Schedule a Free Consultation or call me at (703) 217-2077.