So, you’ve fallen in love with a house that’s on the market. Maybe you’re already imagining arranging your living room furniture and brewing your morning coffee in the kitchen with the sun streaming in! Before you make that important purchase, take a moment to consider if there’s good value in the property. Take a look at the following tips.

Is the house you’re considering fairly representative of others on the block? Your Realtor has probably already researched for you what similar properties have recently sold for in the area - that piece of information is critical. It’s also a good idea to take a walk through the neighbourhood and look at other homes nearby. Do they seem well cared for? What else do you notice on bordering streets? For example, if there are road improvements underway, local transit enhancements or a brand-new school or shopping plaza being built, this can add to the future value of the home.  
 

Unless the property you’re looking at is a new build, there might have been some renovations and upgrades over the years. If the home has modern-looking materials and finishings then this should be reflected in the listing price. On the other hand, the home may be decades old with the original flooring. If the hardwood and carpets are good quality, have been looked after and are still in style, that’s a positive sign. Maybe the kitchen and bathroom are dated with cabinets and counter tops in an older style. Unless you really like the retro look, you’ll probably want to do a little upgrading yourself. Therefore, think about the potential cost of any improvements and whether the home is still a good value.
 

Does the home have a timeless design that you can see your family enjoying for years to come? There’s a practical aspect to this, of course, in terms of the number and placement of rooms and the general traffic flow. For instance, the convenience of main floor bathroom and laundry room and the flexibility of spaces that can function as a bedroom, den or other space can meet your changing needs in the future. As well, the placement of mud rooms may help contain outdoor gear and direct visitors. Home designs change historically to address the needs and wants of home buyers. So, depending on the age of the house you’re viewing, it may have some great design features. You could also be walking through a custom-built dwelling that includes many helpful features.
In summary, while the list price may be attractive and the location is at the top of your wish list, make sure to dig a little deeper and discover the current and potential future value of the property. Once you weigh in all the contributing factors, you can make a well-informed decision about your purchase offer price. As always, I’m available to help!