Hey everyone
I've seen a townhouse that I like, selling price $605K. I searched for comparable properties, and turns out the property next door in the same complex ( and roughly same size, same number of bedrooms, bathrooms, garage) recently sold for $545K.
Estate agent tells me that the property that sold for $545K was subject to a Defense Housing Lease with about 5-6 years to go, and that's why it was priced cheaper. I searched on the net and I did see an ad confirming that that townhouse was a defense housing property. Didn't say how long the lease left on it was.
Q: what should I offer for the property I am looking at? Is the value comparable to the one that sold next door? Agent says no- the defense housing property would be worth less because it was subject to a lease with stricter terms/lower rent/higher maintenance fees compared with a property that would sell without this type of lease.
I've seen a townhouse that I like, selling price $605K. I searched for comparable properties, and turns out the property next door in the same complex ( and roughly same size, same number of bedrooms, bathrooms, garage) recently sold for $545K.
Estate agent tells me that the property that sold for $545K was subject to a Defense Housing Lease with about 5-6 years to go, and that's why it was priced cheaper. I searched on the net and I did see an ad confirming that that townhouse was a defense housing property. Didn't say how long the lease left on it was.
Q: what should I offer for the property I am looking at? Is the value comparable to the one that sold next door? Agent says no- the defense housing property would be worth less because it was subject to a lease with stricter terms/lower rent/higher maintenance fees compared with a property that would sell without this type of lease.
