How to Determine the Value of a Rental Property
- 1). Call an appraiser. She will put a number on the property's worth. This will cost a few hundred dollars, but the appraiser's number will be more official than a number you come up.
- 2). Ask a real estate agent. He will look at comparable properties in the area and make a determination based on the sale price of those houses. This will cost nothing but the agent will expect you to list the house with him if sell.
- 3). Do the work yourself. Look online for similar properties for sale in the neighborhood to see their list price. Adjust your value based on how closely your house compares---if you have more bedrooms, your home might sell for more; if the other house is larger, it will have a higher value. The value you come up with won't be official, but it will be a good estimate on which to base a sale price.
You'll also want to adjust the value based on how long the other properties have been listed. For example, if a house across the street with the same floor plan is listed at $200,000 and it hasn't sold for a year, the actual value is lower.
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