Here are nine items that do NOT affect the market value of a home:
- the original purchase price
- the amount owed on the mortgage or home equity loan on the property
- the list price of other properties for sale in the neighborhood
- what the seller thinks it’s worth
- the amount of profit the seller needs from the sale
- the selling prices of homes in prior years
- an appraisal
- tax assessment value
- the position of the stars and moon
I’ll add one more:
10. The price a similar house around the corner sold for two years ago.
The sole determinant of the value of a home for sale is the price someone is willing to pay for it.