One of the first steps you should look at when trying to determine an offer price for a house or home is the recent sales of similar properties.
Known as "comparable sales" these are simply the recent sales of houses and homes that closely compare to the one you are interested in purchasing. When determining what qualifies as similar sales in your area you should look at number of bedrooms in the home, number of bathrooms, the square footage of the home, the lot size or acreage, type of construction and total garage space.
There are two great types of information sources when looking for comparable sales. One is known as Public Records and the other one is called the Multiple Listing Service. The Multiple Listing Service is basically a 'Realtors Only' listing of properties for sale, sold properties, the details of the sold properties and their final transaction prices.
While this database continues to grow it can be a great asset to prospective home buyers in providing information on individual houses and homes in your area. Your real estate agent will be happy to gather comparable sales data from The Multiple Listing Service to help you determine the price that should be offered on the house you are interested in.
Searching for the right home in the perfect place? Chances are you'll want to check here first.
Gary Allalouf- RA
Hawaii Realty International
Hawaii Mortgage Basics