How much is my Cariari home worth? That’s a question I’ve been asked so many times.
Usually, a seller already has a price in mind. Their expectations are at times quite dead-on; at times the expectations are too low. But in most cases, sellers want way too much money for their Cariari home.
I’ve heard all the reasoning:
- “But I paid so much for it”,
- “I really need that much to buy what I want”,
- “But I’ve put so much money into renovations”, etc.
I always tell them the same thing, “You can choose the paint, the curtains, the lamps, the home, but you can’t choose the price of your own home.”
As unpalatable as it might seem to the seller, the price is decided by the market place. The market is a slave to supply and demand.
The Costa Rica real estate market is really something quite vibrant. Just like other markets, it can move up or down quite suddenly as many have witnessed.
We don’t have a real MLS (multiple listing system) to use as a guide or as a reference with comparable property for sale in the same neighborhood. So how do you figure out the market value of a Cariari home?
A good pulse
Ahh well, that’s where your experienced real estate agent comes in to help you out. If the agent is familiar with the area, in my case Cariari – Belen, then the agent will have a very good pulse on proper pricing of the property for sale. My name is Shell Johanson, I Iive and love Cariari and know what is going on here.
A fast guide
A fast price guide one can always rely on is what’s called ‘replacement value’. Many banks use this kind of estimate. Although in most cases a great tool and easy to work with:
- X amount of m2 or ft2 of construction at such and such a price,
- Deduct the number of years from that value, usually 2% each year, depending on upgrades,
- A building lot of dimensions at such and such a price,
- Swimming pool cost,
- Cost of architects and permits, etc.,
Intrinsic value
Many Costa Rica properties for sale have an intrinsic value that is hard to define. But it does add to the value of that home. So by all means, ask several real estate agents in the area and decide for yourself as to their accuracy.
You will find some real estate agents who are only interested in making an ‘easy killing’. They will lower your sales price to do so. I can assure you that your Cariari ‘GoDutch’ agent wants to work hard to earn the commission trying to make it a fair deal. I do know what fair values are all about.
You might not always like what I have to say about the price of your home. But I assure you I know my stuff. A badly priced home is one that does not sell and just sits there costing you money.
Start with the right foot
Keep in mind that the first few months of a sale are always the most important ones. So don’t undermine the sale of your own home by overpricing.
Contact me for a FREE appraisal of your Cariari property before you put it on the market and with pleasure, I will explain to you what I can do for you.
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I DO want to remind our readers that we appreciate any referrals you can send us. Also, please remember the GoDutch Realty agents when you talk about your home in Costa Rica, we appreciate it.
