how do they decide wha a house is worth?

October 24th, 2009 | by admin |

My friend has a house which is partly renovated. Half a new kitchen, air conditioning, new window frames, large shed but no working hot water system or cooking facilities, leaking roof and generally dirty and untidy and inhabited by mice. She has no money to complete it. Does the realestate agent have to list it and how does he work out its worth?

To base a listing price several things are appraised.
1. Location, school district, is it by noisy streets, highways
2. Curb appeal, does it look nice and neat and inviting when you drive up, making you picture yourself living there?
3. Has it been updated, appliances, flooring, roof, a/c bathrooms.
4. Is there sufficient storage and closet space.
5. You can talk with an appriaser and they will let you know what to look for.
Also, you might tell your friend she may qualify for a low low interest loan from HUD to help get her house finished and make it liveable. She does not have to have a real estate agent to sell it, but she would do good to get one to keep her from getting raked over the coals.
I would check into the HUD thing though, you can go online and see all the programs they have.

  1. 3 Responses to “how do they decide wha a house is worth?”

  2. By Ozark Woman on Oct 24, 2009 | Reply

    To base a listing price several things are appraised.
    1. Location, school district, is it by noisy streets, highways
    2. Curb appeal, does it look nice and neat and inviting when you drive up, making you picture yourself living there?
    3. Has it been updated, appliances, flooring, roof, a/c bathrooms.
    4. Is there sufficient storage and closet space.
    5. You can talk with an appriaser and they will let you know what to look for.
    Also, you might tell your friend she may qualify for a low low interest loan from HUD to help get her house finished and make it liveable. She does not have to have a real estate agent to sell it, but she would do good to get one to keep her from getting raked over the coals.
    I would check into the HUD thing though, you can go online and see all the programs they have.
    References :

  3. By bjanugget on Oct 24, 2009 | Reply

    If she wants to sell her house, part of the Real Estate agent’s job is to help determine a list price and give the seller a reasonable idea of what the house may sell for given the market conditions and the physical condition of the house. The agent will look for comparable properties in the neighborhood which have sold recently and then add or subtract from those prices for the positive and negative differences between her house and the comps.

    The Realtor may also recommend certain minor repairs/cleaning to maximize the potential sale price. Listen to your Realtor, especially when selling. They have the same interest as you do, maximizing the sale price.
    References :

  4. By Ryan D on Oct 25, 2009 | Reply

    he doesn’t. He’ll use an appraiser. That person will derive their basis for the value of the home on a few factors, here they are, in order of most important to least: 1. What are the homes in the immediate area going for? 2. What is the condition of the home in question, in respect to the homes that the apprasier looks at in part one? 3. Is the house in question next to, or near any of the things that are considered a "high risk" area for lenders (ex: on a busy street, next to train tracks, or large bodies of water, etc)… using these main factors, they will determine where the value of the house lies in respect to those "comps" that they will look at from part one.
    References :
    i worked in the mortgage industry for 8 plus years.

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