If your home is a major part of your investment plan, you will want to know and track its value. Whether you are buying or selling, you need to understand:
- What factors affect the value of a home? This includes things like location, the condition of your home, and any renovations you have done.
- How much is the home worth today? You can get some idea by looking at what similar homes in similar areas are selling for. You will also need to consult a real estate agent.
- What might it be worth in the future? The best way to estimate this is to look at how housing prices in the area have changed over the years. There are also some calculators to help you on the Internet.
The historical average price increase for homes in Canada is 5% a year. Will yours go up that much? It could be more, but it may easily be less. Again, location and the condition of the home are important factors.
Learn more now: Understanding house prices
Content in this section is provided in partnership with the Investor Education Fund, a non-profit organization promoting financial literacy to Canadians. To find out more go to GetSmarterAboutMoney.ca.