What is my unrepaired sinkhole house worth in Florida?
1. Take the price of house as if it did not have a sinkhole problem. (www.zillow.com)
2. Subtract 5% to 10% for stigmatization.
3. Subtract the cost to repair the sinkhole under the house. (How much the insurance company paid you or what the insurance companies engineering report says it will cost.)
4. Equals what the unrepaired sinkhole house is worth.
Stay away from using percentages (25%)
Call me for a better explanation of this complicated process. For many years I was a State Certified Appraiser.
Sinkholes and the After Repair Market Value of Sinkhole Damaged Houses.
"Sinkholes may vary in size from less than a meter to several hundred meters both in diameter and depth. Sinkholes vary in size and in shape from bedrock-edged chasms to from soil-lined bowls. They may be formed gradually or suddenly and are found throughout Florida." If you're concerned about Florida sinkholes and un-repaired damage to your home. I pay top dollar for homes damaged by sinkholes.
In order to determine how much to pay for a houses damaged by Florida sinkholes, I look at several factors.
1. Sinkholes are very costly to repair. I first determine what it will cost me to repair the below ground sinkhole including the stabilization for the future.
2. How much are the above ground repairs and updating cost going to be? Sinkholes in Florida and particularly damages caused by Florida sinkholes are not limited to one specific area. Most often, major repairs and re- construction of homes that have been damaged by sinkholes are called for.
3. I consider the after repair market value of homes damaged by sinkholes. The after repair market value as of current, not based on market value five years from now. Un-repaired properties that have been damaged by sinkholes are usually worth much less than market value. However, as an investor of sinkhole damaged homes, I am willing to offer sellers top-dollar for their sinkhole homes.
I always ask the seller, "What is your un-repaired sinkhole home worth?" A great deal of the time I am told the market value is $XXX,XXX.XX . I then ask the seller how they have determined the value of their sinkhole damaged house.
The usual response is "The value of my home is on my tax bill."
The truth is that the market value on a Florida home seller's tax bill is for tax purposes only. Selling prices of homes affected by sinkholes (or any other home for sale) are determined by actual market value which is the sales comparison approach (Comp Report). For instance, to determine the value of any home, including homes damaged by sinkholes, properties similar to the seller's are analyzed using prior data. The sale price is adjusted to account for differences in the comparables against your home or property to determine the value.
The other two ways of determining market value of homes that have unrepaired sinkholes are as follows:
1. The Cost Approach
2. The Income Approach
I am more than happy to have a more in depth discussion with you as to which method would be in your best interest. All sellers have different situations and sellers of homes that have been affected by sinkholes are all too common in Florida and most often require the expertise and experience of a professional who cares. Please call me at (813) 545-5263 and I will see what I can do to help you sell your home.
Sinkholes can be very dangerous and owners of homes with sinkholes are in a particularly precarious and stressful situation. It's important to understand that there is a solution to your problem and homeowners with sinkholes can actually come out ahead of the game. You can get out of the house you are in and have enough money to buy another home, which in many cases is the best way to go. Sink holes that have been repaired, often resurface only leaving the homeowner to re-live the nightmare. Why wait or take that chance?
Buying homes with sink holes is my expertise, helping homeowners whose homes have been damaged by sink holes is my passion.
sinkhole repair costs - what is the value of a sinkhole home in Florida - What are the sinkhole property values?