Determining Market Value ?

Hi Boris
I’m not sure about the legalities of selling to your trust but to a relative there are two ways you could go about getting an evaluation (that I know of).

1) By obtaining quotes from a few real estate agents and working out the average value. But with this approach you need to keep in mind that it isn’t neccessarily the true market value as some agents tend to overestimate the value of a property to encourage you to recruit them to sell it.

2) Through a valuer but again you need to be aware that some valuers just drive by the house to get an impression of it and then do a data search for similar houses that have sold in the area. From this they give you an evaluation.

As Steve and Dave suggest get to know your valuer and walk through the property with them.

I guess it all comes down to what you both consider as fair and of course if the bank is lending money to the purchaser they will insist on doing an evaluation anyway.

Hope this helps
Betty Blockbuster [8D]

Boris,
get local agents to give you a written valuation it will cost you nothing and it will give you a good idea of market value.
but if you are selling to a trust why not sell for a reasonable rate below it’s value to save on stamp duty and capital gains tax.
I have no problem buying below market value, so why should I have a problem selling(to my trust) at below market value. Only advice is make the price realistic.

Scott S

“Aim for the stars and you’ll shoot the top of the telegraph pole. Aim for the top of the telegraph pole and you’ll shoot yourself in the foot!”
-anon

Hello Everyone,

Your far better off speaking to a conveyancer. They will give you the legalities of such issues.

Being a non arms length transaction, this would be a wise choice.

David Femia

Femia Property Group
Property Investment Consultants
http://www.femiapropertygroup.com.au