"What is my house actually worth?" - this question stands at the start of almost every sale. The answer depends on numerous factors and cannot be answered reliably with a single click. This guide explains clearly how a property valuation works and what really matters.
These factors determine the value
- Location: district, infrastructure, neighbourhood, transport links, noise and views
- Size: plot and living area, layout and usability
- Condition: year of construction, maintenance, deferred modernisation
- Energy standard: type of heating, insulation, energy certificate class
- Fittings: quality of bathrooms, kitchen, floors and windows
- Market situation: current demand and interest rate level in Homburg and the Saarpfalz district
Location is the only factor you cannot change - which is why it carries the most weight.
The three valuation methods
| Method | Suitable for | Basis |
|---|---|---|
| Comparative value | Flats, single-family homes | Prices of similar, sold properties |
| Income value | Let properties, investment properties | Achievable rental income (yield) |
| Asset value | When no comparable properties exist | Construction plus land value |
For owner-occupied houses and flats, the comparative value method is usually the most informative, because it is based on prices actually achieved. For investment properties, on the other hand, the yield is what counts - here the income value method is decisive.
Market value, fair market value, mortgage lending value - the differences
- Market value (Verkehrswert): the price that could be achieved on the market on the valuation date (Section 194 German Building Code). Market value and fair market value mean the same thing.
- Mortgage lending value: a deliberately cautious value that banks apply for financing. It is usually below the market value.
- Asking price: the price with which you start the marketing - it should be based on the market value, not on a wish.
Why online calculators are only a guide
Online valuations work with average figures and do not know your property in detail. They provide a rough range but take into account neither the real condition nor particular features such as modernisations, plot layout, views or encumbrances in the land register. For pricing a sale, they are therefore only an initial guide - not a reliable valuation.
When a market value report is worthwhile
For a normal sale, a well-founded market price assessment by an experienced agent is usually sufficient. A detailed, fee-based market value report by an expert is worthwhile above all for inheritances, divorces, gifts or when the value has to be substantiated in court or before the tax office.
Frequently asked questions
What does a property valuation cost?
An initial market price assessment by an agent is often free and without obligation. A detailed market value report by an expert costs, depending on scope, from several hundred to over a thousand euros and is worthwhile above all in legal matters.
How accurate are online valuations?
They provide only a rough range based on average figures and cannot capture the individual condition. For reliable pricing, an on-site valuation is necessary.
Which documents are needed for a valuation?
Helpful items include a land register extract, floor plans, calculation of living space, year of construction, energy performance certificate and evidence of modernisations. The more complete the information, the more precise the assessment.
How often should I update the value?
The market changes constantly. If a valuation is more than about one year old, or if interest rates or condition have changed significantly, the value should be reassessed before a sale.
Have the value assessed thoroughly and on site before the sale - that is the basis for a price that neither gives money away nor deters interested parties. We offer this initial assessment free of obligation.