Pricing Fixed Defect (listing, buyers, prices, appraisers)

[middle-aged mom]

Frieght train tracks run through a part of my 100 square mile zip code. For decades, 4 trains made a daily run.

Generally speaking, there are numerous lovely mid-high end homes that front these tracks that ranged in price from $500- $2MM. They generally sold at a 10-15 % discount to comparable homes, in better locations.

Fast forward, the tracks were sold and there are now plans to run as many as 20-25 frieght trains a day, to by- pass rail conjestion, in Chicago. And there is not a darn thing that the community/state/fed can do about it.

This is a magilla of a fixed defect and clearly the majority of buyers are not going to consider such homes. Conversely, for the right price, anything can and will sell.

How the hell-o does one get their arms around pricing one of these homes?

[oldmanbob]

wow, since the tracks were used, even a small amount, perhaps wont be to big a factor, as long as its now plastered all over the local news. As far as pricing, probably just have to use trial and error and see what moves. Good luck.

[Silverfall]

That stinks for those homeowners. Out here homes on the tracks sell for about 20- 25% less than homes a few blocks over, but they don't have that many trains either. That is A LOT of train noise...

Me...I'd start with 25% less than comps and keep working my way down...

[MikeJaquish]

I know a few appraisers for whom I would be buying a cup of coffee, or a brew.
I sure would like to see someone else set the market before I went on a listing call.

[Brandon Hoffman]

I'd go trial and error. Start slightly below the comps and drop every couple weeks/monthly etc until you hit the right price. This only works well for money motivated. Time motivated I guess it could still work, you'd just have to drop prices faster.