I’ve been trying to convince Buyers of this for years that the value of their home is not something that can be calculated to an exact number. No two homes are identical and no two buyers value the features of a property in the same way. One person may look at a 3 car garage or a pool or big yard or a whatever and say WOW when others see un-wanted space or something else to maintain.
Sellers often find that price and cost do not equal value.
Buyers’ and sellers’ motivations and desires play a big role, but they can be difficult to calculate. Some people may be willing to pay more for a pool, a main-floor master bedroom or to live a certain location, for example, but these features may turn off others.
Experts point out that a home’s worth is based on the data as well as the role it serves for the person living there. Other factors to consider include functional obsolescence due to over-improvement, whether the market will pay more for unique features like outdoor kitchens or media and audio systems, and whether buyers want athletic equipment in their homes that they can access at professional gyms and training facilities.
It’s important for buyers to consider whether the home works for them, as the “value in use” to the occupant may not be supported by market data.