Water Frontage and Appraisals: Everything You Need to Know
When you are involved in the process of residential real estate as an owner, a seller, or a buyer, understanding how appraisals work and having a general understanding of the different things that can have an impact on the value of the appraisal is important. Many factors can have an impact on your appraisal, especially if your property has waterfront views. Waterfront properties are difficult to appraise, though they have more value.
In this article, we will discuss an overview of what to know about appraisals and waterfrontage.
How Does Water Have an Impact on the Value of the Property?
If you are living on the water, the value of your property can be higher in comparison to neighbours who don’t have the same waterfront access as your home. Many elements can impact the value of the home, especially if it pertains to the water. This can include the following:
Rarity of the Property
The rarity of a property will refer to the uniqueness of the situation, location, or setting that the home enjoys. For example, if the property has street privacy in addition to the views of the water, if the home is iconic or historic, or if there is an extended front footage, these can increase the overall value of the property.
A Great Location
With all real estate appraisals, the location of the property is key. A home that has a location on the water in a desirable location in a more valuable market will be seen as valued more than just a home located on the water in a less desirable location.
Waterfront Amenities and Access
A factor that will play a big role in the value of a waterfront property is the amenities and access that the living waterfront will provide. Large dock structures, walk-out access, and panoramic views can improve the value of the home. The length of the water shoreline at the property can have an impact on the value of the home. More water frontage means a higher value, providing more access to water-based activities to enhance the aesthetic appeal and added privacy from neighbouring properties.
An Ideal Setting
A major aspect to think about is similar to location but distinct is the setting. Large properties on the water that are private and have great access to the road and parking will be valued more. The nature of the shoreline will also come into question, as sandy, marshy, or rocky shorelines play a role in valuation. For example, a sandy beach is more desirable than a rocky beach, depending on the use and views.
Structure of a Home
The structure of the home will be considered when appraising real estate, regardless of the location or setting of the lakefront home. Desirable floor plans and amenities are always in style. Secondary structures like decks, boathouses, and docks will add value to a waterfront property. How these structures enhance the property’s usability and appeal should be considered as well. A well-maintained dock can boost the value for buyers who are interested in boating.
Conclusion
Appraising waterfront properties can be difficult as they pose unique factors, and working with a professional appraiser can make the process all the easier to ensure a fair price is paid for your lakefront property. This process can be daunting and overwhelming, which is why we recommend always working closely with a real estate professional who has experience with selling waterfront properties. Trust the real estate professionals at Hendricks Team Realty to guide you in finding and settling down in the home of your dreams in the many beautiful waterfront neighbourhoods that make up Niagara Falls, ON, today.