Principle #1 - CostThis is the amount actually paid for a property plusany capital improvements made since the purchase.
Principle #2 - Asking PriceThe stated amount an owner is willing to acceptfor a property.
Principle #3 - ValueThe amount a buyer is willing to pay given todaysmarket conditions.
Principle #4 - Market ValueThe amount that will bring a sale between a willing buyerand a willing seller. It is based on the history of similarproperties recently sold in the area as well as propertiescurrently available for the buyer to choose.
Principle #5 - Regression and ProgressionThe effect that surrounding home sizes have on the valueof a subject property. Regression is the decrease in valuewhen surrounded by smaller homes. Progression is theincrease when surrounded by larger homes.
Principle #6 - SubstitutionSubstitution refers to the actual value of an amenity. Valueis determined not by the cost invested in a property, but by thevalue derived from it.
If you would like a free no obligation consultation onhow to market your property, contact me.
Thank you for your time,
No comments:
Post a Comment