Any property can be sold… it just depends on the price.
No matter how much you think your property’s worth, when it comes down to negotiating a sale it’s value is ultimately decided by how much buyers are prepared to pay for it. And if that’s nowhere near what you need or expect, then be prepared to dig in for a longer marketing period, or even take it off the market and reconsider your options.
Even real estate agents can only give you a guide to how much your home might sell for. So how can you pin down a value to set a sales price?
For a start Trade Me Property has made things much easier for you with Property Insights our free online tool that provides you with estimated market values, rateable valuations and more for your property.
We’ve calculated this using our own algorithm that incorporates sales of similar properties and RVs. It’s not a professional valuation or appraisal and doesn’t involve a physical inspection of the property. For a full market appraisal, chat with your local real estate agent or pay to get a formal registered valuation from a valuer.
Take a look also at our Property Price Index to see how the market is trending in your region and for your type of property. The Index is produced from data on properties listed on Trade Me Property over the previous three months and is the first report in New Zealand to provide an insight into 'for sale' price trends by type and size of property.
At the end of the day, though, your property’s sale value right now depends on the market conditions today, how many people are looking to buy, and how desirable your property’s location and condition are. This is constantly changing, and might look a lot different in six months.
Property value terms:
Capital value (CV)
This value is determined by your local council to establish your rates payments and is based on your property’s combined land value and improvements value.
Registered value (RV)
A registered valuer provides this information, but you’ll have to pay for it. Lenders often request this to confirm a loan. An RV is well worth investing in before selling your home as it gives buyers a clear indication of the market value of your property at the moment. It also helps you to negotiate a higher price if your property’s RV is higher than its CV.
This is what insurance companies will ask for when you insure your home. If it’s destroyed and needs to be replaced, how much would it cost to rebuild? Insurance companies usually have calculators to help you work out an approximate rebuild value.
The most likely selling price of the bare land at the date of valuation. Includes bare land and development such as drainage, retaining walls and levelling.
The difference between the capital value and land value. Includes the value of the buildings, other structures and any landscaping.