Profile picture for hasansheryar

i want to compare the resale value of newly constructed house compared with existing houses.

if i purchase a new house valued at 400,000. when the cost of similar houses at the time is valued say around 350,000. how will resale value be affected 2-3 three years later especially in a crashed real estate. 
  • April 27 2014 - US
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Answers (4)

Profile picture for RealEstateCrew
In a crashed real estate market the home may be worth half or even less, hence "crashed real estate". 
  • April 27 2014
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No one can predict the market in the future. Only a good educated guess on what we think the market may do. 
I explain to my clients that buying new is part of what you are paying for NEW!!!

When you get ready to list your home a Realtor/Appraiser will pull comparable sold homes, make some addictions or subtractions to help determine the value.  
  • April 27 2014
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You actually run the risk of over paying now  We cannot predict the future except to say it looks shky at best
  • April 27 2014
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What you paid has no bearing what so ever on current value. To find current value you must compare an apple to an apple if you can, so you would compare your house to others currently sold. If they are not the same then you have to add and subtract features, size, age, location, etc to try and make them compare. In other words if both homes are identical in size, age, location and one has a pool and the other doesn't, you would equalize them by subtracting the amount of a pool from the price the one with a pool sold for to make it compare to your house. This is what appraisers and Realtors to and you do the same with size, age, bedrooms, garages, locations etc.

  • April 27 2014
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