How much value does a new constructed home in an old neighborhood loses?

Asked by huynh076, Columbia Heights, MN Tue Jun 11, 2013

I'm building a new home in the $250,000 range at an old neighborhood in Crystal, MN. It looks like the area is somewhat redeveloping. There are two houses currently being build on the street behind mine in the $200,000 range and there is a new Target and stores a couple minutes away. Should I expect the appraisal to be under the $250,000 range? It's near the Bass Lake Road and Bottineau Blvd.

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5
Susan Hoffla…, Agent, Shoreview, MN
Wed Jun 12, 2013
Hi, huynh076!
I know that area well, I used to live there. You're right, that area is an up and coming market! There are lots of good things happening there to improve values, so I would think, VERY generally speaking, you should be fine with your appraisal. Of course, it merits mentioning that each appraiser has their own approach and their own opinion of how to evaluate a property. There's no way to accurately answer your question on a forum like this, but we are seeing property values coming back up in that area.

Good luck!!!
Web Reference:  http://www.homestosellmn.com
1 vote
Arne Johanss…, Agent, Minneapolis, MN
Fri Nov 29, 2013
They will use recent solds in the neighborhood to come up with price. They will give you some price for being new vs old.
0 votes
Susan J Penn,…, Agent, Weston, FL
Tue Jun 18, 2013
Your comps will come from the neighborhood and the condition of your home.

Susan Penn, PA, SFR, CDPE http://about.me/HomesForSale_SusanJPennPA
EWM Realtors® | A HomeServices of America Company | An Affiliate of Berkshire Hathaway
2000 Main Street, Suite 103 | Weston, FL 33326 http://www.susanpenn.com
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0 votes
Cody Anderson, Agent, Minneapolis, MN
Tue Jun 18, 2013
Depends on the above grade finish square footage that your home will include.

Would you like a buyer agent to help you negotiate with the builder?

Most builders include a 6% commission when they list a home... So why not have an agent on your side for free?

Thank you,

Cody Anderson, MN Licensed Realtor

RE/MAX RESULTS
Metropolitan Home Team

Phone: 612-242-5752

Email: cody@metropolitanhometeam.com
0 votes
Mike Kelcher, Agent, Burnesville, MN
Wed Jun 12, 2013
Every appraiser and every appraisal is uniquely different. In a general sense, your new home should appraise for something around $250K...unless something is unusual that you have not mentioned.
0 votes
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