Jump to content

      



























Photo

Pricing a unit for sale


  • Please log in to reply
2 replies to this topic

#1 G-Man

G-Man

    Senior Case Officer

  • Moderator
  • 13,800 posts

Posted 03 January 2014 - 10:37 AM

With the assessments upon us I was wondering how much I could list my house for. I can remember selling my townhouse and at the time was advised that you should price your unit about 10 to 15 percent over assessment as a rule of thumb. Does this still stand and what other factors play in?


Visit my blog at: https://www.sidewalkingvictoria.com 

 

It has a whole new look!

 


#2 MarkoJ

MarkoJ
  • Member
  • 5,771 posts
  • LocationVictoria

Posted 03 January 2014 - 12:17 PM

With the assessments upon us I was wondering how much I could list my house for. I can remember selling my townhouse and at the time was advised that you should price your unit about 10 to 15 percent over assessment as a rule of thumb. Does this still stand and what other factors play in?

 

When I suggest a list price I take a look at the assessment but I don't use it as a significant tool in terms of property valuation.  I've sold 10 units at 834 Johnson in the last two years and even within the same building the variation in assessments is crazy.  

 

Let me give you a quick example of why I don't like to us assessments.

 

I had #608 listed at the 834 and it sold in November, 2013 for $295,000.  678 sq/ft with parking and assessed at $278,900 at the time.

In late August, 2013 #406 sold for $250,000.  696 sq/ft with parking and assessed at $281,900 at the time  

 

Why such a big difference in the same building?  The unit I had listed was a much nicer layout, wasn't facing Johnson, had a bigger kitchen, more windows, etc.  It wouldn't have made sense if I went to my clients and said, "Hey, the last place sold $31,900 below assessment so let's price yours $31,900 below assessment too."

 

Assessments overlook a lot of crucial factors that come into play when determining the market value of a property.

 

Sometimes you can look at what properties are selling for in comparison to assessment in an area but that is a weak metric as well.  Someone could drop $50,000 on a new kitchen and bathroom in a single family home and it will probably not be reflected in the assessment for that property.


Marko Juras, REALTOR® & Associate Broker | Gold MLS® 2011-2023 | Fair Realty

www.MarkoJuras.com Looking at Condo Pre-Sales in Victoria? Save Thousands!

 

 


#3 Nparker

Nparker
  • Member
  • 40,398 posts

Posted 03 January 2014 - 12:24 PM

...Someone could drop $50,000 on a new kitchen and bathroom in a single family home and it will probably not be reflected in the assessment for that property.

I think this is especially true in older condo buildings where some units may have had significant upgrades while others are still builder-grade originals. I know if I listed my property for sale it would more than likley be above the assessed value simply because of the betterments I have put into it.



 



0 user(s) are reading this topic

0 members, 0 guests, 0 anonymous users