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Thursday, 16 February 2017

10 proven ways to determine the price of a house

10 proven ways to determine the price of a house
Many first time house buyers are always skeptical in making decision about the price of a house they are planning to buy. As development sparks the globe, housing has highly become man’s desires, to shelter himself in a nice neighborhood and REALESTATEKO is a good place to know more about the real estate industry .
Every day houses are builds for residential purpose, renting, mortgaging, selling and other different purposes. If you have in your possession a house you intend to sell or you are planning to buy a house; either ways you would need a knowledge of what the house is worth.
To determine your initial price for the property work with your real estate agent to understand the fair market value of the property. To establish a fair offer price, use the factors outlined in this article to help calculate any increase or decrease in value.
Be sure to keep your fair price determination to yourself. The worth of the house is not better reflected elsewhere than in its price. Below are 10 proven ways to determine the price of a house.

1.Understand the market

  Looking at similar and recent sales in the area is key. Feel free to look at past sales but keep in mind how much the market has fluctuated since then. Look at similar markets too. If there have not been any recent sales in your neighborhood venture over to a comparative one nearby.
You can also use the internet to search for recently sold homes in your area of interest. Some local governments and realty sites publish this information on their websites. Keep in mind that some information is not 100% accurate, that is why you need to rely on different sources

2.   Begin by Joining a Buyer’s List

  Buyer list can be joined through websites where you can get information on the prices of different kind of houses from investor resources or real estate owners who wants to sale their house.
You can also access www.Tradecash4Houses.com to begin to receive wholesales deals on any kind of house. In joining a buyer list, you can also go in search of houses in sales from different investor or agent and you can be added to their buyer from thence you can get information on what you in pursue of.

3.  Check on Places Where Houses are on Sale

  Places where houses are on sale can be directly or indirectly located by getting in touch with local newspaper, back page, by owner sites etc. Find the level of their motivation and how soon they want to sale it, why and if necessary in which neighborhood.
Some time, you may hear people discussing on “houses for sale” and because you are interested in getting one or selling out your own estate you can then check on the house in discussion to get some necessary in formations. 

4.   Square Footage and Numbers of Bedrooms and Bathrooms

Usually, the price of a property is determined on the basis of the square footage and the number of bedrooms and bathrooms in the house. Compare sale of houses with requirements similar to yours and get an idea of the value of the property you are interested in. Another important element is the location of the house on sale. Look at properties with similar style of construction, within a mile radius to make a comparison
Remember that every house has a fixed cost based on the land value, construction and subdivision plans, so a negligible increase in square footage will not increase the value/price of the house consequently. The number of bedrooms and bathrooms contribute more than the mere square feet value, which means a 3-bedroom 1000 square feet house can cost more than a 2-bedroom 1100 square feet house.
Similarly, the number of bathrooms and the amenities available in the bath area also matters a lot. There are also other factors such as garage or parking spots sold with the property that adds or reduces the price. 

5.  Real Estate Agents/Brokers

Real estate agents may be working under one of the estates owners and for that he or she will have access to some others estate owners who are willing to sale their houses. One thing that agents have is access to multiple listing services (MLS).
They can put you on an automatic notification if a property pops up that meets your criteria. The can also provide you great insight on neighborhood, schools, taxes etc. great information to have especially if this is property you intend to live in.

6.How Long has the House been Listed?

Generally, the longer a house has been on the market, the more willing to negotiate the vendor becomes. Use this factor to your advantage during the negotiation.

7. Why is the House for Sale?

Price is not affected by the vendor’s motivation to sell. Willingness to negotiate however is greatly affected. If an owner needs to sell by all means, your chances at price negotiation are greater. Which means, the seller’s price can be is not the real market price. So, there is room for negotiation.
By the same token, if an owner does not really need to sell, then your chances of negotiation are minimal.

8. Mortgage Banks/Brokers

  Mortgage bank primarily deals with things concerning houses, land and building structures. Because they are into housing, different information about houses are always on their fingertips.
These folks know when owners have tried to sale their homes but couldn’t get qualified buyer. They’ll also know when homes owners try to refinance, but were not able to due to poor financials. These owners may be looking to sale at nice discounts

9.Will Money need to be Spent to Improve House Condition?

Evaluate the property condition. Your offering price should be affected by money that you will need to put into make any improvements. To help assess the situation, a house inspection should be done before you make your offer.

10.Contact your Local Tax Assessment Office

Local governments keep records of recent property sales, which are usually held in the tax assessment office. Contact the office and ask for records of recent sales in your neighborhood or zip code.
See if they can give you a list with all the details of each property, including selling price, date of sale, square footage, year built, and number of bedrooms and bathrooms. You'll need all of this information to make an educated guess on the market price for your home.

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