If you're a homeowner, you might be wondering how much your house is worth. Keep reading to learn more about how you can find the value of your home.

Across the US, the real estate market is hotter than ever. If you're a homeowner wondering whether you should take advantage of this seller's market, there are a few different factors to consider. Although it's impossible to predict exactly how much someone may be willing to pay for your home, with a little research, it is possible to get an estimated value.

If you're thinking about selling your house, it's important to understand your local market and how much your property may be worth. In this article, we're explaining how you can learn more about the real estate market and find out the value of your home. 

Market Value VS. Appraised Value

When finding out the value of your home, it's essential to understand the difference between "market value" and "appraised value." 

Market Value: Market value is the amount prospective buyers are willing to pay for your home. You can get an idea of the market value of your home by looking at similar home sales in your area. This can help you gauge how much buyers may be willing to pay for your home.

Appraised value: Appraised value is the value a licensed appraiser assesses your home to be worth. The appraised value is important to mortgage lenders because it helps them determine how much they will lend a borrower. 

It's important to note that the market value and appraised value are not always the same — especially in a hot real estate market. Buyers are often willing to pay more than the appraised value if there is a low inventory of homes or if they really want the home. 

How to Find Out What Your House Is Worth

Use an Online Home Value Estimator

There are many online valuation tools that can provide a fast estimation of your home's potential value. These tools use a specific algorithm to gather and analyze publicly available data, such as local sales and county tax records.

While home value estimators can be a great way to get a quick estimate, they are limited in accuracy. This is because they rely solely on publicly available data and may not take into consideration recent upgrades or high-end finishings. In addition, if your home is unique or there are few recent sales in your area, an algorithm-backed valuation may be accurate. 

Order a Professional Appraiser

If you're thinking about remortgaging your home or selling it, you might decide it's a good idea to order a professional appraisal. An appraisal is a professional objective opinion formed by a licensed appraiser. To create an appraisal report, the appraiser visits your property to assess its condition, finishings, and other important factors. They also use publicly available data and recent home sales to determine the most accurate value. 

Get A Comparative Market Analysis

A comparative market analysis (CMA) is typically used by real estate agents to determine the value of a home. Agents use recent sales data and knowledge of the local market to create a report that provides buyers or sellers with a home estimate. 

CMA's tend to be more accurate than online estimate tools; however, they do depend heavily on an agent's knowledge and experience. Fortunately, CMAs are often offered as a complimentary service by real estate agents, so you can request several to compare. 

Check Your Local County Appraiser's Website

If you're interested in finding out your home's value from a tax perspective, checking your local county appraiser's website can be a great idea. County auditors assess the value of your home for property tax purposes. This data is helpful because it's easy to access and provides an objective opinion. 

Check the Federal Housing Finance Agency's House Price Index (HPI) Calculator

If you want to understand property value trends in your area, the Federal Housing Finance Agency's House Price Index (HPI) calculator can be a useful tool. Using historical mortgage data, this calculator projects how home values in your area may change according to the appreciation rate. As this calculator utilizes data from millions of home sales, homeowners can use it to compare the affordability and cost of living in certain neighborhoods. 

However, it's important to note that although this calculator can be useful, it will not estimate the market value of your particular house. Rather, you should use it to help understand housing appreciation over time.