Real Estate Appraisal in Ventura and Los Angeles

Ventura and Los Angeles Local Real Estate Market

Home values ​​increased 13% year over year in Ventura and Los Angeles County. Many of the world’s largest funds, including THR California, Colony Capital, Blackstone, KKR and Waypoint, are acquiring almost 1/3 of all homes on the open market for rent over the next 5 years. This is extremely important to homeowners in Ventura and Los Angeles counties as real estate is likely to continue to increase in value.

How to value your house

For home appraisals in Ventura and Los Angeles County, you need to consider many factors. Size, location, quality of construction and curb appeal are a few, but many other factors are also taken into account.

How much value does a bedroom add?

In our experience, rooms add more value than just the actual size of the property. Going from 2 to 3 bedrooms is usually worth an additional 15-20% of value. Whereas, from 3 to 4 bedrooms it is usually a 3-5% increase in value. Finally, 4-5 bedrooms is only maybe 1-3% of the value. We focus in this equation on valuing homes as much as price per square foot.

How much value do bathrooms add?

Adding a bathroom to a property is usually a very business decision. Although an additional bathroom in a property that has 3 bedrooms and 2 bathrooms can add $5,000 to $10,000 in value, adding a bathroom in a property that has 3 bedrooms and only 1 bathroom can make a significant difference. Sometimes close to $25,000. This is a convenience that buyers are often willing to pay for.

price per square foot

We also analyze the price per square foot to obtain a base value of a property. If there is a similar property in the area, including size, shape, and location, it is a good tool to use. However, when you’re comparing your home to a property that’s 200 (or let’s say 10%) less square feet than yours, it’s usually a good idea to look at the big picture. Are you willing to pay an additional 10% of the value? Probably not, but maybe 5% more. But, if the property has an additional bedroom, you could add an additional premium of $10,000. But realistically, no one who paid $300 per square foot for a 1,000 square foot property will pay $300 per square foot for 1,100 square feet, all things being equal. Usually it will only be a $10,000 premium, instead of $30,000 (100 sf * $300/sf).

How much value does having a pool add to your home?

With high-end homes, the buyer is more likely to be able to afford the approximate $2000 annual cost to maintain a pool, and will probably want the pool just to have it. Pools are an additional $15k for homes under $400k, 15-25k for homes 400-800k and around $40k for homes over 800k. As such, the added value of a group increases as the price of the property rises. The higher the price of the house, the closer the added value of a swimming pool will be to the cost of building it.

How to value your home versus a fully rehabbed property

Some houses in one area have quality rehab work, and some are just lipstick on a pig. However, a house that hasn’t been touched in years, but has good bones, can cost a developer about $20/sq.ft. +/- to complete rehabilitation. This includes hardwood floors, carpet, granite countertops, new cabinets, good appliances, recessed lights, new bathrooms, paint inside and out, new baseboards, doors, clogs, and cleanliness. The HVAC system or water heater is often replaced. Comparing a house that has been rehabbed at 20/sq ft. yours is difficult. I usually add or subtract $22-25/sqft. when comparing a fully rehabilitated property with a non-rehabilitated property. Luxury rehab jobs are a bit more difficult to price, as some can run as high as $40/sqft. Those rehab jobs typically sell at a premium, but you may never see a full return on your investment.

Rent, Rent, Rent

Location always matters. Having a property on a cul-de-sac can add an extra 5% in value, while having a property on a flag lot, a parcel behind another property, can deduct $10-50k in value (depending on the quality of the home). ). ). This applies to properties facing a busy street, train track, highway, or major artery. Depending on the street, a property facing a busy street can sometimes be worth 2% less, while a property facing a highway can be worth 7-12% less. Sometimes more.

Although this article takes into account many different variables in valuing a property, there are many more. Valuing a property is always a unique experience from one property to another. Also note that all opinions expressed in this article are based on our experience and are subjective.