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Updated about 14 years ago on . Most recent reply

Account Closed
  • Tucson, AZ
45
Votes |
945
Posts

price per sq foot

Account Closed
  • Tucson, AZ
Posted

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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Jon Holdman
  • Rental Property Investor
  • Mercer Island, WA
14,128
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22,059
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Jon Holdman
  • Rental Property Investor
  • Mercer Island, WA
ModeratorReplied

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.

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