How to know the price of an old flat?

You can check the resale value of flats or old flats by applying the following formula: Value or resale flat = value of undivided share of land + depreciated value of building and amenities + value of overheads, expenses, etc. To calculate the UDS, you can check the guidance value/ ready reckoner rate/ circle rate per sq ft. Usually the UDS value is 1.5 or 2 times higher than the guideline value. To calculate the depreciated value, ask for the cost of construction per sq ft. It should be somewhere around Rs. 1200 to Rs. 1500 per sq ft. The depreciation is calculated according to the depreciation rate of 1.5% per year. Finally the value of overheads and other expenses is 40% of the construction cost. Another way to determine how to calculate resale value of flat in Chennai is by asking around the local builders or real estate agents. They also have a fair idea about the price of an old flat.

Wondering how to calculate resale value of flat? When assessing the resale value of an old flat, several factors come into play. Here are some methods you can use to estimate the price:

1. Sales Comparison Approach:

   • Look at recent transactions for similar properties in your area.

   • Compare these prices to your flat’s features, location, and condition.

   • This approach provides a good estimate of the fitting resale price.

2. Depreciation and Value Components:

   • To calculate the value of a resale flat, consider the following components:

     • Undivided Share of Land (UDS): The land portion associated with your flat.

     • Depreciated Value of Building and Amenities: Account for wear and tear over time.

     • Overheads, Expenses, and Promoter’s Profit: Additional costs related to the property.

   • Combine these elements to estimate the overall value.

3. Surprising Findings for Older HDB Flats:

   • Contrary to common wisdom, older HDB flats do not depreciate as quickly as expected.

   • Transaction data shows that prices do not fall significantly with age.

   • While the commonly accepted theory predicts steeper depreciation, actual data reveals a different trend.

Remember that these estimates provide a rough idea, and actual resale prices may vary based on specific circumstances. Alternatively, you can follow the steps mentioned by Jayram as it can help you get a more accurate valuation for your old flat.

This is all about how to calculate old flat value. 

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How to calculate resale value of flat in Bangalore?

 

When sold my flat, I determined the per square foot resale value of apartments, by dividing the size of the property in question by the average sale price of nearby comparable properties.

How to Calculate Flat Price?

• At first, I started locating similar homes that were sold in the last three months in my neighbourhood, as well as in other surrounding areas. Thanks to the property listings of

  NoBroker

  I was able to locate similar properties in my locality. Properties that are similar in size, style, age, and location are referred to as "comparable" in this context.

• I selected three properties that were similar to mine in every way, including age, size, style, amenities, and amenities.

• Finally, I computed the total by adding the adjusted and final sales prices of the three similar properties. I was able to obtain the average adjusted final sale price by dividing the total by 3. This sum was the estimated market value of my home.

Now if you want to know the old flat resale value, you should use this formula;

Value of a resale flat=

Value of undivided share of land (UDS)+ Depreciated value of building and amenities + Value of overheads, expenses and promoter’s profit.

Keep in mind that this will only be a rough estimate. Numerous other elements are crucial, such as nearby stores, transport, nearby schools, crime rate in the area, etc. 

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What will be the Resale Value of 20 Year Old Flat?

I also did not know how to calculate old house value when I planned to buy a decade-old house, but after much research, I was able to figure out the calculation myself. You can go with the above formula, Value or resale flat = value of the undivided share of land + depreciated value of buildings and amenities + value of overheads, expenses, etc., but there are certain other aspects that you must consider. So to know how to calculate old property value here is what you need to do.

How to calculate value of old house?

To calculate the value of an old house, you can follow these methods:

• Comparable Sales Method: 

Research recent sales prices of similar properties in the vicinity to gauge market value.

• Income Approach: 

If used for rental income, estimate potential rental earnings, subtract expenses, and apply a capitalization rate to determine value.

• Cost Approach: 

Estimate the cost of rebuilding the house considering current construction costs, deduct depreciation, and add land value.

• Property Condition: 

Assess the house's current state, required repairs, and renovations needed to influence the valuation.

• Location and Market Trends: 

Consider the neighbourhood's desirability, amenities, proximity to facilities, and local real estate trends.

• Professional Consultation: 

Seek input from real estate agents, appraisers, or property valuation experts for their informed opinions.

I availed myself of NoBroker’s

buyer plan

, and their experts guided me through everything and helped me buy the property at the right value. If you feel confused, do the same.

Read More:

How to Calculate Market Value of Property? How to calculate net annual value of house property? How to Calculate Gross Annual Value of House Property? How To Calculate Property Value From Rental Income?

Many of us who are not very familiar with real-estate selling or buying are unsure of how to go about selling ageing or old flats in gated communities or freestanding apartment complexes. While some of us try to sell real estate at exorbitant prices, others use the most recent transaction as a standard. But many people are unaware of how to objectively assess the worth of ancient property, flat depreciation rate, and the factors that go into doing so.

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How to calculate old flat value?

Geographical location, nearby transportation options, local market demand, flat maintenance, community maintenance, amenities in the neighbourhood, and facility upkeep practices are all elements that affect the cost of a flat. It should be kept in mind that the government always sets prices lower than those found on the open market. Before selling an old apartment and find the resale value of flat after 10 years, a number of factors need to be taken into account. Only after considering these elements should a decision be made.

Where is the flat located?

The prospective purchasers will examine the property's flooring, doors, windows, other fixtures, and finishes. They watch over the apartment's upkeep as well. Before purchasing a property, buyers also consider the flat plinth space, carpet area, and UDS of the apartment owner. It is also considered whether the apartment appears posh or not so posh, as well as extraordinary or average. It is also taken into account how the property is used, including whether the owner uses it for home or business purposes.

Is it easy to sell the flat?

What matters is whether the prospective buyer of the apartment can easily sell the apartment if he wishes to increase the apartment's price in the future. The location of surrounding residential and commercial districts, as well as any unfavourable elements, are further determining considerations.

How is the pricing determined?

What is seen is the cost of apartments in nearby projects with comparable specifications to the one that is supposed to be sold. When new flats are placed up for sale in the region, the features and costs are considered.

Depreciation of the flat cost

What was the building's age? What would the apartment's durability be? These are taken into account while calculating the flat depreciation. Depreciation typically starts at 10%. If the apartment has been well-maintained, the depreciation is set at 15%.

How is flat resale value calculated?

The average cost of resale flats is as follows:

1-5-year-old flat is 78% of the current market price(range=75%-83%)

5-10-year-old flat is 68% of the current market price(range=63%-75%)

10-20-year-old flat is 58% of the current market price(range=50%-67%)

Some individuals calculate the price of an apartment on the worth of the building and the undivided share of the land.

As already explained by Mr Aakarshit, the formula for valuing a resale flat is as follows:

Value of a resale flat= Value of an undivided share of land (UDS)+ Depreciated value of building and amenities + Value of overheads, expenses and promoter’s profit.

I will explain each of the factors of this formula to you.

Value of an undivided share of land: UDS times price per square foot. You can use the cost per square foot benchmark value. The market value is often 1.5–2 times the guideline value in the Indian setting, and the guideline value is typically too low. Visit some real estate websites to learn more about the market pricing being offered and to get a sense of what the land is worth in the area you're searching for.

The depreciated value of building and amenities: You must know the construction cost per square foot in order to calculate this. This varies once again according to the calibre of the building. You may look for "cost of building per square foot in India" on Google. The prices you receive today range from 1200 to 1500 per square foot. The value is calculated by multiplying the area (super built-up area) by the price per square foot of construction. The depreciation value calculation comes next. For this, we make the assumption that the property will last 60 years and will then be worth around 10% of its original cost.

As a result, the building's value and its amenities lose 90% of its value over a period of 60 years, or roughly 1.5% per year. Actually, during the first 15 years, depreciation is less than this and accelerates thereafter. But calculations are simpler when the depreciation rate is equal. Later, we can change the order of things.

The total of these three determines the property's value.

I hope this explains to you the flat depreciation rate and how to calculate the resale value of an old flat.

Read More: How to Calculate the Resale Value of Flat?  How to know the price of an old flat? How to determine the market value of a resale flat?

Hey,

I think anyone property owner who has an old house wishes to know if an old house valuation calculator India exists or not. There are benefits and disadvantages of owning an old flat. The maintenance of the house becomes a major issue as the years pass by. If the rate of the property is decently good and the timing is right. You can sell the flat and buy a new property while earning a profit.

 

How to know the value ?

ASR:

You can get to know the ready reckoner (ASR) Annual Statement Rate by looking at the yearly announcement made by the Maharashtra Stamp Act and the Maharashtra Stamp (Determination of True Market Value of Property) Rule, 1995.There is no official Flat value calculator that has been commissioned by the government. 

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When I want to know property value, I look at real estate websites. The properties posted there give me an idea about what price other owners are selling their property for. I either adjust my price accordingly or wait for an optimum time. 

People want to purchase old houses because they are fully constructed and ready to move in. There are certain tax benefits that one gets after getting possession of an old flat as well. 

Currently, I would say the resale value of flat after 20 years is dependent on the real estate market. If the market crashes, the value of the flat will plummet. If the market blooms, the price will go up as well. 

Theoretical Approach :

To know the apartment resale value calculator, you can follow three approaches. Those are :

The sales approach where you can look at comparable properties 

The replacement approach is where you can think about the cost to construct a building from scratch. 

The income approach is where you can think about the profit you will gain after selling the asset. You will calculate your expense as well. 

 

I feel a combination of all three will work well for the old house valuation calculator India. This is all from my end. 

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Read more : Can I get home loan for resale flat? How to check Patta for resale flat? What to check when buying a resale flat ?    

If you are planning to buy a resale flat or just want to know the resale value of your flat then you must know a few important things to consider. How to calculate resale value of flat is a common question in the real estate market. Don’t worry, I am here to guide you through the process followed by flat resale value calculators. Read on and don’t forget to leave a like :)

Factors affecting price of an old flat

Before revealing how to calculate the old flat price, I believe we should know in detail what are the factors to be considered while doing the calculation. Here are a few important ones:

Location

This is going to be the first factor affecting prices and rates of your property. If you have a land or property which is located in a commercial space or in an upbeat real estate market, then you can expect a good property rate. Such localities offer better amenities and connectivity. Not only this, an area which is developing at a rapid pace can also give you a good return on investment if you’ve already made one.

Infrastructure

As briefly mentioned in the earlier point, good amenities and infrastructure are major contributors to the calculation of prices of the properties in an area. If your land is near a major commercial hub, highway, metro lines and has decent social infrastructure, you can expect a good price.

Availability of land and property

Suppose you buy land and build property on it with the hope that the area will have good infrastructure and investments in near future but turns out the market didn’t accelerate for some reasons. At this point, you will likely get a lesser return on investment as anticipated. 

How to know the price of an old flat?

Since we have determined the major impacting factors on the price of an old land let us look at the way to arrive at the calculation:

• Talk to market experts

You can consult with the market experts of the area and get an idea of the value of your property. They will use a resale flat valuation calculator and do the calculations for you based on the land area, age of the property, property condition, amenities, depreciation value, etc.

• Ask the price

Real estate portals like NoBroker can help you determine the land price in an area. You can ask the questions on their portals and they will help you in knowing the resale value of flats and properties in your area. 

• Do the research

You will have to do the comparative analysis by finding the land or property which is similar to yours in terms of area, condition, age, built, etc. Based on all these factors you can calculate the average price.

These are the basis on which flat resale value calculator works.