ARI
LEE
Luxury Home Marketing Specialist
Licensed in CT & NY
PRICE & ANALYSIS FOR30 Easton Ave, Waterbury, CT 06704
There's not much inventory on the market like your property. Because of this, I would suggest you list your property "As Is" and let the offers come in, then you can decide which one to pick from. This situation could work in your favor, as we can list your property in the price range from $425,000 - $450,000, attract multiple showings, and hopefully create a competitive bidding environment. The best way to find our sweet spot is to present it to serious buyers to gauge their offers. Once we launch on the market, we can assess our approach after one week to see if our pricing is on point, ensuring we maximize your returns.
To accelerate the sale, we must engage genuinely interested buyers. This can be accomplished by listing on the MLS, promoting through top local brokers' sites, and directly contacting their clients via email.
I recommend starting with this price. If we don't receive any viewings or favorable offers in the next few weeks, we can reevaluate our pricing strategy.
Provided below is the expected price range for selling your property.
Naturally, this is merely a ballpark figure and may fluctuate higher or lower, depending on any refurbishing or enhancements you've made to make the property market-ready.
Below is a summary of the ARV comps that came up if an investor was to look at the income potential instead of the sold comps in the area.
To estimate the current market value of a property in Waterbury, CT based on a $4,500 per month rental income, we can use the Gross Rent Multiplier (GRM) method and the Capitalization Rate (Cap Rate) method.
### Gross Rent Multiplier (GRM) Method:
The GRM is a simple way to estimate property value based on its gross rental income. Typical GRM ranges are:
• Low-end GRM: 8
• Mid-range GRM: 10
• High-end GRM: 12
*Annual Gross Rent*: $4,500 x 12 = $54,000
*Estimated Property Values*:
• Low-end: $54,000 x 8 = $432,000
• Mid-range: $54,000 x 10 = $540,000
• High-end: $54,000 x 12 = $648,000
### Capitalization Rate (Cap Rate) Method:
The Cap Rate is the ratio of net operating income to property value. Typical cap rates for residential rentals range from 4% to 10%. For this estimation, we'll use a 6% cap rate.
Assuming operating expenses are 40% of gross rent:
*Net Operating Income*: $54,000 x 0.6 = $32,400
*Property Value*: Net Operating Income / Cap Rate
• $32,400 / 0.06 = $540,000
### Market Comparison:
The average home value in Waterbury, CT is $255,638. A property generating $4,500 in monthly rent is likely above average, so we expect its value to be higher.
### Conclusion:
Based on these methods, a reasonable estimate for the current market value of a newly renovated property generating $4,500 in monthly rental income in Waterbury, CT is in the range of $540,000 to $600,000.
### Gross Rent Multiplier (GRM) Method:
The GRM is a simple way to estimate property value based on its gross rental income. Typical GRM ranges are:
• Low-end GRM: 8
• Mid-range GRM: 10
• High-end GRM: 12
*Annual Gross Rent*: $4,500 x 12 = $54,000
*Estimated Property Values*:
• Low-end: $54,000 x 8 = $432,000
• Mid-range: $54,000 x 10 = $540,000
• High-end: $54,000 x 12 = $648,000
### Capitalization Rate (Cap Rate) Method:
The Cap Rate is the ratio of net operating income to property value. Typical cap rates for residential rentals range from 4% to 10%. For this estimation, we'll use a 6% cap rate.
Assuming operating expenses are 40% of gross rent:
*Net Operating Income*: $54,000 x 0.6 = $32,400
*Property Value*: Net Operating Income / Cap Rate
• $32,400 / 0.06 = $540,000
### Market Comparison:
The average home value in Waterbury, CT is $255,638. A property generating $4,500 in monthly rent is likely above average, so we expect its value to be higher.
### Conclusion:
Based on these methods, a reasonable estimate for the current market value of a newly renovated property generating $4,500 in monthly rental income in Waterbury, CT is in the range of $540,000 to $600,000.
Best,
Ari Lee
TOP 8 REASONS WHY WE SHOULD WORK TOGETHER
- I will get it listed on the MLS for Free (a $300 value) and attempt to get it Sold within the next 30 days or less.
- I would do 100% of the work and organize all the showings for you, so you would no longer have to show it alone.
- I will take professional photos and create a video home tour for you, at my expense (an $800 value). See samples below.
I will syndicate your listing on Zillow, Realtor.com, Redfin, Trulia, and all the major broker websites ie: Compass, KW, Century 21, Berkshire Hathaway, etc.
- I would charge only 2.5% when it sells at the right price. My 2.5% will cover the entire transaction, including compensation for the buyer's broker. (Saving you up to 3% on Unnecessary Commission)
- Our listing agreement is Non-Exclusive, which means I will still allow you to sell the property on your own, and if you bring a buyer, then you owe me nothing.
- No long-term listing agreements. I would only ask for you to list your property for 30 days, at a time.
- For your safety and security, we require that every buyer show they are pre-qualified or have proof of funds, before seeing your home and that a licensed real estate agent accompanies them at every showing. Nothing is worse than allowing strangers off the street (ie: Zillow Shoppers) into your home, without having any clue as to who they are or their intentions.
If you feel that our relationship isn’t what you expected, you can fire me at any time and we will stop the listing, asap.
If all of this sounds fair, would you be free to meet up one day this week to go over my strategy on how I would get it sold?
HERE ARE SAMPLES OF PHOTOS AND A VIDEO HOME TOUR I WOULD TAKE OF YOUR HOME
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