What factors make up the purchase price from Homebase? Dive in with us in this article!

There are many methods to value properties in the current market. For example, we can obtain similar houses’ information in the same area or neighborhood. We can also factor in property characteristics, such as the floor number, view, direction, and interior design to calculate a price that’s relevant to the market offering.

Let’s explore in detail the 5 most important elements of home valuation with us down here!

What are the 5 key factors that affect home prices?

Location: By far the most important one, the unique location of each property gives it a single price. No two buildings are the same, so you’d anticipate a different price for each.

Naturally, most investors look for properties that are close to the city’s heart. A vibrant, bustling area with developed infrastructure is often a go-to for them. Therefore, a house located on the main street is valued much higher than the same one in an alley nearby. 

Location is a key element that drives home prices.  

Size: The property’s overall features and size are also contributing factors. A house with a square shape, newly built and painted will cost 20-40% more than the price of an old house. 

Area: The land area is also an important point to consider for most Vietnamese buyers, who’d usually want to convert the land slot for residential use. Usually, square plots of land with a large yard will be valued at higher prices than those without.

Natural and environmental conditions: Not only the property itself, the entire surrounding environment of the property will also affect the selling price. Is the house susceptible to floods and drought? You will need to consider how climate and nature will affect real estate. 

Type of real estate: Residential real estate such as apartments, townhouses in residential areas are marked with higher prices, especially if they’re located near schools, hospitals, supermarkets, and more.

Meanwhile, commercial real estate products such as offices are more expensive if they’re close to administrative areas.  

Economic value: Almost all investors care about the return on investment for any real estate. This, in turn, is influenced by the supply and demand for this property, the location, and the suitable features for profits.

How does Homebase value your property?

We combine property information available in the market and the results from our valuation team. With the help of artificial intelligence technology, Homebase can easily offer you the closest market price to you.

Useful article: How Do I Make Sure I Get a Fair Price for My Home Sale?

We’ll help you sell with ease

We hope through this article, you have learned more about the factors that affect the selling price. For more information, contact Homebase by phone/Zalo (+84) 964 245 404 or email contact@gethomebase.com . Homebase is delighted to help you!