Our Sales Definitions
28 Sep 2016
Like many Kiwis, we love all things property – especially when it comes to how it’s valued. Sometimes valuing a property can be more an art rather than a science as there are a number of factors to consider. Here’s a guide to some of the elements myvalocity uses when determining the market value of a property:
‘Comparable Sales’ identify properties that have recently sold in close proximity with similar attributes to the property you have searched for. Properties are included if they have a similar land and/or dwelling size, the number of bedrooms, potential views and other similar features. The homes listed as comparable sales will have recently sold so can provide an up-to-date, comparable insight as to the potential market value of the specific property you have searched for.
‘Recent Sales’ provide an overview of property sales that have occurred most recently in the immediate or local area. Whilst these sales may not be directly comparable to the searched property, they are a good source of evidence to help determine market activity levels and value movements in that specific area.
‘Local Sales’ provide evidence of both recent and historical sales that have occurred in close proximity to the property you have searched. Whilst in general terms the older a sale, the less relevant it becomes, local sales are helpful in determining past trends and movements for the area.
‘Sales History’ relates directly to a specific property’s past sales transactions. Whilst a recent sale of the property is considered one of the strongest pieces of market evidence available when assessing the value, historic sales are also helpful in gaining insight about the property as it shows variables such as how many times it has sold, value movements and trends and even possibly when renovations may have occurred.