Posted on: 25th Oct, 2007 09:56 am
i had two morgage companies give me the value of our home over the phone they went by what was sold.the difference between them was about 11,000. dollars.our house was valued at 116,000. and one company said our house was only worth 95,000. i know the houseing market is down i work for a lumber co. how can it be that big of a difference.
People use many methods for determining a homes value. They can include... Tax Assesments, MLS data, appraisal, broker price opinions, PVA, bpo's, automated subscription type systems and many more. I actually repeated a couple as it depends on the terms used in your area.
What it comes down to is this. Real estate values are based 100% on opinions yet based on facts. There is no central source to base a value on. A value is determined by what the market is willing to spend on a given property. Experts base there numbers on the information that is available to them and the time they are willing to put into researching this can be a factor. It is not uncommon for multiple people to come up with conflicting values, and for those values to be very different from each other.
What it comes down to is this. Real estate values are based 100% on opinions yet based on facts. There is no central source to base a value on. A value is determined by what the market is willing to spend on a given property. Experts base there numbers on the information that is available to them and the time they are willing to put into researching this can be a factor. It is not uncommon for multiple people to come up with conflicting values, and for those values to be very different from each other.
Hi Hawleykins,
The appraisal techniques used are different from each other, that's why the values are different.
The appraisal techniques used are different from each other, that's why the values are different.
Hi Hawleykins,
Different people use different techniques to determine the vale of a house. For that reason, may be the difference has occurred. That is why you need to take help from different people to determine the right value of your house. Otherwise, you may be fooled.
Best of luck to you,
Larry
Different people use different techniques to determine the vale of a house. For that reason, may be the difference has occurred. That is why you need to take help from different people to determine the right value of your house. Otherwise, you may be fooled.
Best of luck to you,
Larry