For most people, their home is their biggest asset. Understanding your home’s value is important if you ever plan to sell it, refinance, or borrow against its value. Other than putting a roof over your head, your property is a key part of your financial plan.
There are many reasons to know the answer to “What is my home worth?”
Over time, your home should theoretically increase in value which also increases your net worth. When it comes time to sell, you’ll likely make money on the investment, assuming it’s been well-maintained. If your home’s value increases significantly, you’ll have lots of borrowing power, allowing you to take out a home equity line of credit so that you can cover big expenses such as a college education for your child, or a remodel. Another reason to pay attention to the value is property taxes. You don’t want to pay too much tax if the property value was artificially inflated, for example. Those taxes are calculated by taking the mill rate (the amount of tax payable per dollar of a property’s value) and multiplying it by the property’s assessed value, as Investopedia explains.
If you’re thinking about selling your home within the next few years, keeping an eye on the value and watching the real estate market is essential, allowing you to sell at the most opportunistic time for maximum profit. Knowing the worth of your home is essential for ensuring you have enough homeowners’ insurance coverage and it can also be important for estate planning.
To track the value of your home over time, there are many online sites that can help you get a good idea of what it’s worth, but it’s important to understand that the figures revealed are only an estimate as they can differ from the actual worth of your home. These are some of the top options that tend to provide the most accurate, detailed information.
One of the most popular real estate home worth sites is Redfin which provides an instant home-value estimate and you can also sign up to get a free home report. You’ll be able to enter details about the property, find out more about the local neighborhood, how walkable the area is, and what the property taxes cost per year. As the site uses the most accurate data from the MLS (Multiple Listing Service), it tends to be more accurate than most.
Eppraisal.com offers its own estimate of your home’s value and more. Beyond the home price, it provides details on homes that were sold nearby along with other information such as current refinancing rates. There is no email address or cost required for this data either.
Chase Mortgage Services offers a home property value tool via Chase Bank. All you have to do is enter the address of your home. It’s free, you don’t have to provide any of your personal information other than your address, and you’ll also get an estimate of the value of your neighbor’s homes.
PennyMac offers an online home value tool based on public data, realtor sites, estimated price per square foot, sale history, the home’s detailed description and the sales of comparable homes in the same community. You can sign up for a report that will provide two estimated market values from leading providers as well.