How much is my house worth?

Whether you are planning to sell your home, need to refinance or are simply curious about the value of your property, many Queensland residents want to know how much their house is worth. Property valuation can even influence major life decisions, helping homeowners, buyers and investors make choices around their long-term wealth and future living arrangements.

Let’s explore how property values are calculated, the easiest way to organise a price estimate, which factors influence the value of your home and much more.

How is property value calculated?

Property value is determined by multiple factors that contribute to its perceived worth – from its location to the size of the property, its current condition, any unique features, as well as recent sales of comparable properties in the area. In Queensland, property values are generally calculated by two methods: comparative market analysis or through an in-person professional valuation.

The comparative market analysis (CMA) involves analysing recent sales data of similar properties in the same area to determine a property's value. Real estate agents use this method to provide an estimate based on market trends, locality (within 5km of the property), recent sales (sold in the past six months) and property characteristics. CMAs are frequently used by both homeowners and real estate professionals to gauge the current market value of a property.

A professional valuation, on the other hand, is a more detailed and comprehensive assessment of the property. Valuers consider a wide range of factors, including:

• Land size
• Building size
• Construction quality
• Age of the property
• Renovations or improvements
• Zoning/council regulations
• Potential income-generating capacity

Getting your home valued in-person by a professional valuer is a more accurate way to assess your property's value, but bear in mind that it’s also a time-consuming process and likely to be quite costly compared to a CMA.

What are the different ways to get a property valuation in Queensland?

If you're looking to get a property valuation in Queensland, there are several options available to you:

Engage a licensed valuer

Hiring a professional, licensed valuer is the most reliable way to get a comprehensive property valuation. Valuers are trained professionals who assess all the most important factors to determine your property’s estimated market value. They will provide you with a detailed report that can then be used by banks, financial institutions and legal entities when going through the sales process.

H3: Consult a local real estate agent

Real estate agents cannot provide a professional property valuation unless they are a licensed valuer. However, they do have access to the latest market data and can provide a CMA to estimate the value of your property. While not as detailed as a professional valuation, CMAs are a cost-effective alternative and can give you a general idea of your property's worth based on local market trends. Just make sure you go with a reputable and experienced agent who understands what's happening in your local area.

Online valuation tools

Several online property platforms offer valuation estimates. Googling the property's address will bring up a number of property platforms that can provide the estimate value range and historical information These tools use algorithms that factor in recent sales, property features (e.g. number of bedrooms and bathrooms) and current market trends to provide an automated estimate of how much your home is worth. While online estimates can be a useful starting point, they won’t account for unique property features or specific local market conditions.

What factors influence the estimated property value of my home?

Understanding what might influence the perceived value of your home can help you plan for the future and even see you increase its value by improving certain property details. Here are some of the main factors to consider:

Location

Where your home is situated is arguably the most significant factor that will influence its value. As they say: location, location, location! That means your home’s proximity to schools, public transport, essential amenities and general lifestyle attractions like parks and cafés can play a big role in property prices. Queensland-specific factors like beachfront or riverside locations, proximity to tourist attractions and access to popular recreational destinations can also see your property’s value rise or fall.

Property size and condition

The size of your property and the condition it is currently in will also determine its value. Larger properties with more usable space generally have higher values. However, well-maintained smaller properties with modern amenities and high-quality finishes can also attract higher valuations.

Comparable sales

Recent sales prices of comparable homes in your area can serve as a valuation benchmark. Properties with similar features, size, location and condition allow for easier comparison. However, bear in mind that comparable sales should always be based on the most recent available data and be within a reasonable distance to your home.

Economic factors

Rising interest rates, supply-and-demand dynamics and overall sentiment for the Australian property market can influence the values of houses and apartments. Other factors like population growth in your area, employment opportunities, infrastructure development and new government policies can also play a role.

How can property owners increase the value of their home?

If you're looking to increase the value of your home, there are several strategies you might want to take advantage of:

• Renovations and improvements: If you plan on upgrading your property, focus on renovations that will provide the highest return on investment, such as kitchen and bathroom upgrades, landscaping, adding a deck or improving energy efficiency.
• Kerb appeal: First impressions matter. Investing in your home’s façade and general kerb appeal can easily boost its value. Be sure to maintain a well-manicured garden, give the exterior a fresh coat of paint and consider how you can further enhance the entrance with attractive landscaping and lighting solutions.
• Functional spaces: Almost every homebuyer is looking for functional and versatile spaces in a property. So if you want to appeal to a broad range of buyers, consider converting any unused spaces into home offices, additional bedrooms or multi-purpose rooms that cater to the needs of modern living.
• Energy efficiency: Energy-efficient homes not only have lower utility bills but they also attract an additional segment of buyers. Consider installing solar panels and more energy-efficient fixtures (e.g. dishwashers and ovens), and keep the property well insulated to attract environmentally conscious – and financially savvy – buyers.

How can I find a history of my property's value over time?

To find the history of your property's estimated value range in recent years, you can access:

• Local council records: Contact your local council and request access to historical property data. They should have files on any previous valuations as well as sales data. Depending on your council, they might charge a fee for this service.
• Online property portals: Popular websites like realestate.com.au and Domain provide a history of property sales prices as well as rental history data. It’s a quick and easy way to access your home’s history of sales and rentals.
• Licensed valuers: If you have the available funds, engaging a licensed valuer can give you a comprehensive valuation report that includes complete historical property data and sales information.

How much does it cost to get a property valued?

Getting your property valued in Queensland may involves some costs, and it will ultimately depend on the level of detail you require. Here are some typical costs associated with property valuations:

1. Licensed valuer fees: If you end up hiring a professional valuer to conduct a comprehensive valuation, their fees will be based on the size of your property. Fees can range from a few hundred dollars to a few thousand dollars, so make sure you get quotes from a few different valuers to compare costs.
2. Real estate agent fees: When consulting a real estate agent for a comparative market analysis, you often won’t incur direct fees. It's best to clarify these potential costs upfront before requesting that a real estate agent values your home.
3. Online valuation tools: Many online platforms offer free property estimates. But these estimates may not provide as much accuracy as a professional valuation. Other online services offer highly detailed reports for a fee, so do your research and choose a solution that meets your needs and your budget.
4. Property data reports: You can get property data reports that include information such as historical sales prices, property history, title searches and zoning information. These reports can provide valuable insights and will range in cost from anywhere between $50 to a few hundred dollars.

Finding out how much your house is worth

Understanding your property’s value can help you make more informed decisions in the real estate market. Just remember to always consult with licensed professionals to get the most accurate, up-to-date information about your property's worth.

Thinking of selling your home? Find an REIQ Accredited Agency through our Find an Agency tool.

Browse our series of articles on property sales here.