The term market value tends to confuse quite a large number of people. We as the good consumers that we are will walk into a store see something we like and will without thinking twice pay whatever is on the price tag no questions asked. If we see a shirt that has a price tag of $34.99 we will pay that price because the tag say that is its value, we are just programmed that way.
So when you go into the same store a month later and see the exact same shirt now on sale for $20.00 it is because the store failed to sell all of the shirts for the original price and now must sell it cheaper in order to get rid of them.
When the Fall clothing season first begins that is when the shirt had a high market value, during the Spring months when we are really interested in the shirt the value in the shirt has dropped massively. So in a nutshell market value is simply the price at which a product will sell given a period of time. When it comes to real estate the term reasonable relates to one to three months.
It is important that when you are considering market value that you keep in mind that this is just an estimate of the market value of one house and one house only. The location of the house will play a big factor in the market for a house. Let's assume that in one part of the city a house is worth $400,000. You go to the other side of the city that is not quite as nice and the market value for the exact same house will be only $325,000 instead.
This may seem like and over exaggerated example of how this works but the truth simply is that market values vary from location to location. In short when comparing the price for a house you also need to consider the other houses in the same area as well.
The next thing that you will need and want to consider is the current condition of the house in question. This will play a part in the number of people who are interested in your house; this will also affect the amount of time on the market that your house will remain there before it is sold.
When a potential buyer looks at a house they will have one of two thoughts. First is this house in good condition and ready for me and my family to move into? Or the other thought is that this house is a dump, it will take lots of work to get ready to live in, and these are the only two thoughts that will go through a buyers head.
These are a few of the things that will determine the market value for your home. Keep these things in mind when you go and list your home. It is also a good idea for you to go and enlist the assistance of a real estate agent. A qualified real estate agent will be able to help you get the best value for your home.