Opinions Of Value

If there is a single area in which one can substantially have a win or have an equally substantial loss, it can be largely tied in to an  opinion on value. It is possible that a home owner, or a Real Estate agent for that matter, can be wrong in their estimation of market value, this can happen to anyone, buyer or seller and this highlights the importance of due diligence in conducting market research in order that you avoid under selling an asset or alternately if you are a buyer, paying too much. I have been witness to an episode where an owner received an offer which according to recent sales indicated that the offer was in the vicinity of 50K over the value but was refused. There are those that take the view that a rising tide raises all boats and while that may be true to an extent; just how much property rises it would’ve always risen more if you didn’t pay an above market value at the outset. However few of us bought our first property with a focus on investment potential but rather a place to live while we raised our families. However we should always do our homework.