How much hidden equity is in your home?
Industry news : 18 - 05 - 21
It has been reported that almost half of homeowners are undervaluing their homes, including some cases where the properties were worth nearly £50,000 more than they realised.
Zoopla reports that only three in ten people have an accurate idea of how much their home is worth, with 45% undervaluing and 25% overvaluing.*
Andrew Lodge, Managing Director commented: “This report highlights the importance of gaining a professional property valuation. Instant online valuations aren’t always reliable, which is why a member of our team will always visit a property and carry out a market appraisal so that the recommended guide price we provide is realistic and achievable.”
What benefits are there for homeowners?
It is reported that the benefits from hidden equity have meant:
– 81% could improve their lifestyle
– 50% were able to move to a better property
– 18% between 55-64 were able to retire sooner than expected
– 13% could upgrade their car
– 13% went on more holidays
– 8% were able to help get family and children on the property ladder
Seven out of ten homeowners would have made different financial decisions if they had been aware of their hidden equity.
What could this mean for you?
It is certainly worth checking the current value of your home. There are benefits to knowing how much your home is worth, particularly if you are thinking of selling, as the value could influence the type of property or location you move to.
Gráinne Gilmore, head of research at Zoopla, explained: “The effects of the pandemic over the last 12 months have been felt in the housing market, with many households reassessing how and where they want to live.
“There is soaring buyer demand, but this is not currently being matched by homes being listed for sale. Homeowners considering a move could be in pole position in their local market if they offer their property for sale, and could be set to unlock hidden equity.”
If you would like to arrange a market appraisal, please contact our team today.
*Zoopla’s Hidden Equity Survey is based on research among 2,000 UK homeowners who have had their home valued by an estate agent in the past three years.