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#54730 - 06/02/06 07:05 AM Cost adjustments - where can I find them?
Sellers419 Offline
Member

Registered: 09/09/05
Posts: 23
Please don't throw rocks. I am a new agent and I am looking for a dependable source to learn pricing adjustments on comps. For example, adjusting for Age, size, condition, location, etc. Also, could someone tell me the pictures required for an interior and where to find repair cost for items? Thank you for helping the needy.
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Mesa Real Estate

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#54731 - 06/02/06 07:23 AM Re: Cost adjustments - where can I find them?
ggwwttre Offline
Veteran Member

Registered: 06/15/04
Posts: 1187
Loc: Watsonville, CA, USA
No rocks... but understand it's more of an art than a science. Take a good look at your comps got two the same everything but one 20 years older and sold for $40,000 less... guess what... By the way, when you get one of those PITA forms that asks you to adjust each aspect you don't have to fill it all in, or you can put zeros in many blanks... just adjust the items that make a real difference.

As for repairs... there are some home inspection sites that offer guidelines. You're looking for a ballpark figure, guess a little high. On an exterior if the place looks okay put $0.

Interior photos vary from company to company. The only one I do them for only takes 1, I've seen companies that want one of every room. On photos in general its always better to have 'em and not need them than need them and not have em. (Digital film is pretty cheap). I've got lots of files where I submitted one but have 5.

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#54732 - 06/02/06 10:09 AM Re: Cost adjustments - where can I find them?
ky realtor Offline
Major Contributor

Registered: 04/21/05
Posts: 1879
Loc: kentucky
This is not an exact science, and it depends on the area you work in. You have to develop your own set of adjustments and being new in the business I can see where it would be confusing. As ggwwttre above said, find two homes that have sold previously that are alike except for maybe square footage; see how much difference in price per square foot. Then use this figure to figure adjustments in that particular area. These will be different for different price range homes, and different locations. I don't think you can find this in a book. However, a good appraisal class will help. Keep up to date on repair costs by knowing how much it costs for a roof, for example, per foot, or painting per room, etc. It's difficult for a new agent to do this, and it will be time consuming for you.
I take pictures of every room when doing interiors.
_________________________
Comments made are my opinion, and not intended to be legal advice of any kind.

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#54733 - 06/02/06 06:04 PM Re: Cost adjustments - where can I find them?
REO Seller Offline
Member

Registered: 01/24/06
Posts: 323
Loc: So Calif.
I suggest you take an appraising class at your local jr college. It will teach you a lot and count toward continueing education.

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