Would you rather have a home you own increase in value, or have more money in retirement savings?
Although those two things needn’t be mutually exclusive, NerdWallet’s 2018 Home Buyer Report indicates that more than half of Americans (52%) would choose the home appreciation. The percentage was even higher (56%) for millennials.
It’s impossible to predict what a home will be worth years in the future, but it can still be useful to track its value over time — even if you don’t plan on selling for a while. Your home’s value plays a direct role in how much you’ll pay in property taxes and whether you’re eligible to refinance, among other things.
NerdWallet’s Home Value Estimator gives you a ballpark look at how your home’s value has changed in the past 30 days. (It’s also a handy tool for those looking to buy a place, or for anyone who’s just curious to see what that house down the street is worth.)
We plugged in a random address in Hyde Park, a popular neighborhood in Chicago, and found that it was worth $617,228, up by $28,975 in the previous 30 days. In Peoria, Illinois, one of the nation’s most affordable areas to buy, a home we selected was worth $185,791, down $988 in the previous 30 days.
Factors that determine your home’s current value include:
- The quality of the neighborhood
- Nearby amenities
- Market conditions, including the number of homes available near you and whether the economy is strong
- The home’s square footage
- Its age and overall condition
- Home renovations (e.g., a kitchen remodel, or even dog-friendly upgrades, such as dog doors and a pet-washing station)
Whether you plan to live in your home for a year or a decade, it can be useful to follow its value — and assess the potential factors behind the change — beyond just knowing how to price it when you’re ready to sell.
Get an estimate of your home value. We’ll tell you if you can save by refinancing based on your mortgage data. Sign up for free.