Reading a property appraisal (and why the range matters)
You've had an agent through your property and received an appraisal — usually expressed as a range rather than a single figure. Here's what's actually behind that number, and how to read it properly.
Why a range, not a single figure
Under the Real Estate Agents Act 2008 and the associated professional conduct rules, agents must take care not to mislead vendors about likely sale price. A single, precise figure implies a certainty that simply doesn't exist in real estate — the eventual sale price depends on market conditions, buyer competition, and timing, all of which can shift between the appraisal and settlement. A well-reasoned range reflects genuine market uncertainty rather than false precision.
What actually drives the number
● Recent comparable sales — genuinely similar properties, sold recently, in your specific area
● Current active listings you'd be competing against
● Property-specific factors: land size, condition, renovations, aspect, and any development potential
● Broader market conditions — interest rates, buyer confidence, and time of year
Questions to ask your agent about an appraisal
● What comparable sales specifically informed this range?
● How does this compare to what similar properties are currently listed for?
● What would move my property toward the top of the range?
A word of caution
Be wary of an appraisal that seems unusually high compared to others you've received — sometimes this reflects genuine local knowledge, but it can also be a tactic to win the listing, with the price "corrected downward" once the agency agreement is signed. A good appraisal is defensible with real data, every time you ask.
Note: We're happy to walk you through exactly how we arrived at any appraisal we provide — comparable sales included.