House Valuations
House valuation is complicated and rife with subjective factors. And because it’s such a common thing, unfairly skewing the housing market, there are some interesting theories on the subject. Some of these theories involve tax breaks for big houses and hidden information that banks use to profit from buying houses at steep discounts. One thing is for sure; you need a dependable company like Perth Property Valuers. You can read about Perth Property Valuers by checking out their website.

The Valuation Depends On A Couple Of Factors

The value of a house is often considered one of the more tricky topics in real estate — it's very easy to change based on current events and conditions. The price of a house is dependent on four main factors:
  • Location
  • Land Speculation
  • Quality of Construction
  • Condition of House and Lot

The last two factors are applicable to new and existing homes. Generally, a new home will be worth more than an existing home in the same neighborhood, but there are always exceptions. The condition of the house and lot determine how much a buyer is willing to pay for a home, but you can also affect this through staging and renovations.

Depending on where you live, a house could be worth the land value alone. This is particularly true in areas with high land value and high housing prices. Whether a particular piece of land is buildable or not depends on the neighborhood’s zoning and the permits you need to build a new structure. These permits can be very expensive if they require creating new infrastructure for water, electricity, and sewage lines.

Factors That Affect Property Prices

If you're looking to secure a prime location for your new home, then it can't hurt to have a basic understanding of how property prices work. They're not an exact science, but there are a few things that can affect the prices you'll pay in the future.


Where you buy your property is important. If it's within walking distance of shops and schools, you'll likely pay significantly more than if fields and other less-populated areas surround the area.

This means that the major factor really comes down to location within each city, as each suburb differs greatly from its neighbors. For instance, Geelong is a coastal city that's surrounded by scrubland and farmland. This area has witnessed significant population growth in recent years, though it still lags behind the cities of the coast.

On the other hand, it's possible to find prime locations that are poorly priced due to low demand. These properties can be great buys if you're looking to get into locations that aren't heavily populated.


The age of your property will also affect the price you'll pay. Older properties are likely to be well maintained and in great condition, while their maintenance will cost more than newer properties.

If you're buying an older house that's in need of some tender love and care, then it can be expensive to fix up. However, the right renovations can significantly boost the value.

If you're buying a new build, then it will be more expensive than an older property of similar size and condition. This is down to the cost of development and the materials used in creating your new home.


This is obviously a major factor when making your home purchase. If there are significant problems with the structure or the interior features of your new house, then it could cost you a lot of money to sort out. Even minor problems such as leaky pipes can turn into larger issues that can cost you a lot of money.

If your home is in decent condition for its age, then you stand a good chance of recouping some of this money when you sell. The more work that's been done on your home, the more it's worth to a buyer.


The size of your home and the land that it sits on will affect its price. If you're considering a new build, then it's worth looking at both the cost of the home and what you'll pay for the land.

This will give you a good idea of how much your property will be worth without considering any renovations or repainting. Generally speaking, larger homes will always be worth more than smaller properties.

On the other hand, the size of your home will also affect your lifestyle and how easily you can manage it. If you're looking at a significant change in your life, make sure that you weigh up all of these factors before deciding.

House valuations vary depending on the market. Knowing this is key to making sound decisions if you are buying, selling, or even renting property. The factors that affect housing prices can be different in different parts of the world.