Bit of a quickie - our local REA is shocking for valuing stuff on opposite sides of this Very Small Town differently.
I have a block of land, normal size, flat, boring. REA says it is worth $35k because horror of horrors, its on the *gasp* north side. Yup, right, I have to suffer being a 2 min drive from the school and a 1 min drive from the supermarket, that's *so* worth the markdown. The other side of town, reverse those distances - the supermarket is now on the 'bad' side since they built it in January - brand new, enormous, and services an area radius 50km.
Sooo ...
Block of land 4 doors down, normal size, flat, boring but with a large shed on it sold last week for $55k. REA says the shed adds $20k to the block. Heaps of blocks of land all over the town are selling for $45-60k (ones over $60k tend to be in the new estate and you are expected to build a mammoth expensive house on them), but on our street the same types of block get marked down this huge amount. The two blocks on our street that have sold recently through that REA have sold amazingly fast - within weeks not months - compared to all other land sales, and I expect that is because of the markdown.
I need to get the land valued soon, is a valuer going to listen to the REA saying "oh no, that street on the north side of town is 30% cheaper than the rest of the town" or is he going to go "hrm, 750sqm block, lots of other 500-1000sqm blocks within 1km sold for $50k, that's $50k too"?
I have a block of land, normal size, flat, boring. REA says it is worth $35k because horror of horrors, its on the *gasp* north side. Yup, right, I have to suffer being a 2 min drive from the school and a 1 min drive from the supermarket, that's *so* worth the markdown. The other side of town, reverse those distances - the supermarket is now on the 'bad' side since they built it in January - brand new, enormous, and services an area radius 50km.
Sooo ...
Block of land 4 doors down, normal size, flat, boring but with a large shed on it sold last week for $55k. REA says the shed adds $20k to the block. Heaps of blocks of land all over the town are selling for $45-60k (ones over $60k tend to be in the new estate and you are expected to build a mammoth expensive house on them), but on our street the same types of block get marked down this huge amount. The two blocks on our street that have sold recently through that REA have sold amazingly fast - within weeks not months - compared to all other land sales, and I expect that is because of the markdown.
I need to get the land valued soon, is a valuer going to listen to the REA saying "oh no, that street on the north side of town is 30% cheaper than the rest of the town" or is he going to go "hrm, 750sqm block, lots of other 500-1000sqm blocks within 1km sold for $50k, that's $50k too"?