I obtain details of the most recent and comparable sales of properties in the locality. I start with a long list and prioritise to the best 6 or so comparables. I analyse them by deducting values for chattels, land, out buildings and other site improvements, in order to arrive at a net sale price for the dwelling only. I then divide that by the floor area to arrive at a net rate per square metre for the dwelling that has sold. I do that for each sold property.
I then compare each sale property net rate with the property that I am appraising, adjusting for such things as location, views, section size and desirability, construction materials, quality, condition, layout, size, character, X factor appeal etc and from that analysis I derive a net rate to use for the subject property.
I multiply the floor area by the adopted net rate to produce a value for the house. I then add on values for the other site improvements, out buildings, land and chattels to arrive at a value for the tot I al property. I then “stand back” and check whether it lines up with my “gut feel” based on a capital value comparison approach. With this, I use my experience of 34 years in the property industry as a Licensed Real Estate Agent, Registered Valuer and Property Auctioneer. Give me a call for a free, no obligation market appraisal, presentation report and marketing recommendation.