Does your street look good; are the other homes on your street
good looking properties? Is your new neighborhood filled with
bank owned properties? If you bought the most expensive home
in a nice neighborhood, take care of it. But don't add expensive updates
to it. Don't encumber it with a lot of debt on an equity line.
Low priced/cheap looking/distressed neighboring homes can have
a dampening effect on your pricing.
The location is important.
We have some very nice neighborhoods in Indianapolis that rarely
have sales. The Appraiser can go outside of the neighborhood to
find recent comparables when they have to because they MUST use
recent sales. Some neighborhoods in which I've worked had no
recent sales comparable to the home I was working on, but when I
looked back a year or two in the sales record, I found comparable,
more expensive homes that sold there.
Did you pay $50,000 more than any other home in the neighborhood
has ever sold for?
If you ever sell your home, you will sell it to someone like yourself who
values the size of the home and the lot. Selling is a type of competition.
You want to market your home as the nicest home at the price at which
you list it. Always market the benefits.
If your appraisal was for a refinance, Appraisers are looking to give it
as high a value as they dare. If your appraisal was for a purchase,
Appraisers are very conservative now in the value they give.
I hope that helps. Enjoy your home.