Gauging the value of your home

[Charlotteborn]

Originally Posted by TexasDillo

Before you start pulling data, let's give you a definition of "comparable" first.

Include in your search homes that are similar in age, living area (livable square footage), bedroom, bathroom, and garage count (two car, three car, etc.), lot size or acreage, condition of the home, quality of construction and finishes, and amenities (pools, outbuildings), as well as location.

The price per square foot is just an easy estimation tool. Selling price divided by square footage of the house can be a very misleading indicator unless the homes being compared are virtually identical in their characteristics.

So true!

Do not use price per square foot (PPSF) unless you are in a cookie cutter neighborhood (same builder, same quality, etc.) with homes that are very similar in overall square footage. Homes can vary greatly in PPSF in any given neighborhood.

[HockeyDadof2]

Originally Posted by Charlotteborn

So true!

Do not use price per square foot (PPSF) unless you are in a cookie cutter neighborhood (same builder, same quality, etc.) with homes that are very similar in overall square footage. Homes can vary greatly in PPSF in any given neighborhood.

This is an issue fairly regularly when it comes to differences of opinions between real estate agents and appraisers. PPSF can be good at giving a general idea of what a house is worth but SOME realtors in my area are really good at putting an an address, going X.XX miles radius of that and taking the PPSF from there. There are MANY factors, even in neighborhoods of similar homes that make that PPSF nothing more than a general idea. On the other hand I have seen realtors actually weed through the sales in that same radius and only use the ones with similar finish out, bath counts, garage counts & amenities .... and guess what.... we are pretty close in value.