How Much is my House Worth?

What is Stewart Valuation Intelligence’s Home Value Estimator?

The Home Value Estimator is a simplified Automated Valuation Model (AVM). The AVM estimate of market value is computer-generated through the application of various mathematical formulas and proprietary techniques to available public records, local markets and other data.

If you are a lender, servicer or capital markets investor who requires detailed estimates of value, please contact your Stewart Valuation Intelligence representative.

If you are a consumer who desires a detailed estimate of value based on the unique characteristics of your home, please contact an appraiser or Realtor/Broker in your local area.

Reading the Home Value Estimate report

The Home Value Estimator, like all AVMs, assumes that homes are in similar average condition. It cannot adjust values down for disrepair or up for superior materials. While this report is intended to be helpful and informative, it does have limitations. An appraisal is the best way to obtain the most accurate estimate of your home. 

Here’s a quick rundown of what you’ll find in the report:

• Confidence score: Each report comes with a simplified confidence score, represented by a “star” range between one and five (please hover over the confidence score to learn more). The more similar the homes in a community (year built, size, lot size, etc.), the higher the confidence score.

• Property details: Your report will include (when available) a number of details, including the property type, number of bedrooms and bathrooms, living area square footage, land area, the year it was built and more. This information comes from public records, including the assessor’s office, deeds and the multiple listing service (MLS).

• Value history: This tracks the AVMs estimate of the value of the property over time.

• Sales history and Recent Sales: These numbers come from the MLS and public records, with recent sales including a list of nearby homes similar to yours that have sold within the last six months. Note: Alaska, Idaho, Kansas, Louisiana, Mississippi, Missouri (some counties), Montana, New Mexico, North Dakota, Texas, Utah and Wyoming are “non-disclosure states,” meaning this information is not available and will not be populated.

• Local market snapshot: This section illustrates price appreciation in the local community and is calculated using recent sales (where available).
• Neighborhood data: The report provides details on the average single-family sales price, the average single-family sales price per square foot and the number of single-family properties sold in your neighborhood. All of the information is compiled from public record data.

Methods of Home Valuation

There are three primary methods of home valuation that are widely utilized in the industry — automated valuation models (AVMs), professional appraisals, and comparative market analysis (CMA).

Automated Valuation Models (AVMs): Technology-driven systems that use public property data, recent sales information, tax assessments and home features to generate an estimated value for a home.

Professional Appraisals: Conducted by a licensed appraiser who evaluates a property based on a property’s condition, size, location and comparable sales, among others, to determine an accurate market value.

Broker Price Opinion (BPO): An estimate of a property’s anticipated sale price as determined by a real estate broker or agent.

Key Factors That Influence Property Value

The value of any property is influenced by a wide range of factors. While comprehensive housing market conditions play a significant role, other seemingly less significant components will also influence property value for better and for worse. Some of the most important factors that influence property value include:

• Market conditions: Supply and demand dynamics, market trends (buyers’ vs. sellers’ market)
• Interest rates: Higher interest rates increase mortgage costs, which can decrease demand for properties.
• Location: Proximity to schools, workplaces, shopping, transportation and desirable neighborhoods
• Size and layout: Larger properties and well-designed layouts tend to hold higher value.
• Property condition: Newly renovated or well-maintained homes are valued higher than older, neglected ones.
• Comparable sales: Sales of similar properties in the area provide benchmarks for pricing.
• Potential for appreciation: Areas with growth potential due to urban development or improvements in infrastructure.