REAL ESTATE ADVICEREAL ESTATE NEWS

3 Factors That Affect the Price of a Home

Lagos Home & Property Festival

Previously, I posted a quiz to test how well you can price a house for sale given only a picture representation. From the results, I found out a good number answered most of the questions right while a few others performed below average. You may try the test out here.

Anyways, you need to be informed that getting 100% score in the test doesn’t make you good at pricing a house for sale. There are other crucial factors to consider when determining the buying or selling price of a house; location, product and timing. I have listed out the 3 factors in details below.

ALSO READ:  5 Implications of High Cost of Property in Lekki

1. Location

Without much ado, houses located on the Island area of Lagos are known to be more expensive because of the associated luxury apartments in the area. So, it’s possible to find a 3 bedroom apartment for sale within Ikoyi but find out the price is double that of a similarly designed house on the mainland.

ALSO READ:  20 Things You Should Desire in Your Dream Home

2. Product

When it comes to real estate, ‘product’ refers to the entire feature a property. Property valuers value a house by beginning with a detailed physical inspection of the main ‘bones of the house; examining the roof, the boiler, the bathrooms and the kitchen — everything from front door to back, from floor to ceiling — all to get a feel for the condition of the home.

So, mere looking at pictures wouldn’t help you price a house right and that’s the reason you need to book an inspection after viewing such property online.

ALSO READ: QUIZ: How much do you think these Lagos apartments cost?

3. Timing

Just like in other product markets, time factor has a big role to play in determining how much a house should go for. The cost of a duplex today is expected to be higher than it was in the 90s. One reason for this is that as time goes by, modern materials are used in building. For instance, the following picture says more.

ALSO READ: How to Spot an Up-and-Coming Area

Outdated vs Modern Window Design

Have you got any other factor to suggest? Feel free to share in the comment section below.

5261 Total Views 1 Views Today
(Visited 198 times, 1 visits today)
Tags

Daniel Shodamola

I believe information is more important than money. So, I write to get your attention while providing information to guide your next moves. Visit ToLet.com.ng, Nigeria’s first online letting site, to rent or buy a house.

Related Articles

Close