Updated about 15 years ago on . Most recent reply
price per sq foot
Today an agent showing my house to a client who is interested gave me comps she pulled today.
According to the info,
ACTIVE Avg $/Sqft: 88.27 Avg DOM: 28
SHORT SALE Avg $/Sqft: 72.81 Avg DOM: 21
CONTINGENT Avg $/Sqft: 75.84 Avg DOM: 99
PENDING Avg $/Sqft: 67.31 Avg DOM: 38
CLOSED Avg $/Sqft: 75.37 Avg DOM: 75
She expressed surprise at the price of my house
$127,775 sq ft1,280 $/sqft$99.82, that it is just over the high shown. She wondered how I got that price, as it is so close. (Translation--you don't have the resources, how'd you do that? [thanks, Bigger Pockets members!] Her client is interested, and will be getting an FHA loan.
Will lenders determine that the list price of my house, at $99.82/sq foot is too high? If so, how low can I expect to have to go?
Thanks
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#3 Real Estate Deal Analysis & Advice Contributor
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#3 Real Estate Deal Analysis & Advice Contributor
- Rental Property Investor
- Mercer Island, WA
Appraisers will start with comparable houses based on style, beds, baths, location, condition, etc. Then, they will make an adjustment for size. The adjustment, however, is only a third or so of the $/sq.ft. So, houses that are small than average for an area, but otherwise similar, with have higher $/sq.ft. prices and larger than average houses will have lower than average $/sq.ft.