It is well understood that real estate is a cyclical market. Prices rise and fall, typically with a long-term upward trend in Florida, based on a number of factors. One common thread in every type of market is that for the vast majority of individuals and families, their home is their single most valuable asset. While understanding the true value of their home is simply a curiosity and informational for many people, for others, it is an integral part of their long-term plan for financial security.
In today's digital age where everything seems right at a person's fingertips, there is no shortage of options in finding methods to determine a home's value. However, each has its flaws and limitations, primarily that almost all home valuation methods use past performance to predict future sales. Granted, the attempt is to find homes as similar to the one in question as possible in terms of location, age, amenities and upgrades, but the reality is that each piece of property is unique.
It can be helpful to know the recent trends and specific factors such as market inventory and availability, but timing may be the single most important factor in determining a home's value. Yes, the house next door might have sold for a record price last week, and the home for sale is much nicer, but the bottom line is that a home is only worth exactly what it sold for on the day of the sale.
Residential real estate sales most often are fairly straight forward transactions. However, when title issues, zoning laws, lack of disclosure or any other dispute with the real estate agreement occurs, a real estate lawyer may help explain the rights and responsibilities of the parties.