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Factors Affecting Your Offer Price
How Property
Condition Affects Your Offer
Since you have toured
the property you are interested in, you should know how it compares to
the general neighborhood. All you have to do is put the home in one of
three categories - average, above average, or below average.
When evaluating a
home’s condition, there are a number of things you should consider.
Structural condition is most important - items such as walls,
ceilings, floors, doors and windows. Then paint, carpets, and floor
coverings. Pay special attention to bathrooms and bedrooms and whether
the plumbing and electricity work efficiently. Look at the fixtures,
such as light switches, doorknobs, and drawer handles. The front and
back yards should be in reasonably good shape.
The missing ingredient
will be information on the condition of the homes from your comparable
sales list. Provided you chose the right agent to represent you, they
will have actually visited most of those homes and be able to provide
key insights.
How Home
Improvements Affect Your Offer Price
Even when comparing
exact model matches within a tract of homes, you should note whether
the previous owners have made any substantial improvements. Cosmetic
changes should be largely ignored, but major improvements should be
taken into account. Most important would be room additions, especially
bedrooms and bathrooms. Other items, like expensive floor tile or
swimming pools should be taken into account, too, but should be
discounted. A pool that costs $20,000 to install does not normally add
$20,000 in value to the home.
Rely on your agent to
give you guidance in this area.
copyright 2000 by Terry
Light and RealEstate ABC |
