When Comps Not Available - How to Sell?

[Alex Washburn]

Hello Hive Mind,

I am just getting into the world of real estate and have just one deal under my belt as my Mother prepares to sell the family home.

The house my Mom is selling (95% Paid Off) is going to go on the market October 1st. 

However, something that she and her agent have discusses at length is what to list it at because no true comps exist in the zip code. My mom is the original owner and the house is just under 30 years old, it's a corner lot at the end of a cul-de-sac but since it is a corner lot the backyard is twice the size of most other backyards in the neighborhood. Because of all this space my parents built an extra fully permitted 2 car garage in the backyard bring the total garage space up to 5 cars. 

How do you go about pricing things with no true comps? Obviously a 30 year old house has some drawbacks and theres plenty of new construction in the area but nothing with a similar yard or garage space. 

I personally don't have enough experience to help but I am worried that it will either go on the market too high and get stale or... will sell a little too quickly. 

I wanted to ask this question of the BP community because I see it as another thing I can learn about!

[James C.]

Alex,

Cost to cure. You are over built for the neighborhood. If everyone has only a 3 car garage, and you have a 5, then you are the biggest house on the block, and thus your value would be reduced somewhat. 

For example, if the cost to build a 2 car garage is $15,000, you won't get all $15,000 of value, you might get $10,000 extra, or maybe even less. 

Same with square footage, if you have more sq foot than everyone else, then you won't get the total cost to cure. 

If you are really worried about the lack of comps, then you can always hire a certified appraiser to give you a figure and then go from there. The cost (I don't know what the cost of an appraisal in CA is) may be worth it, if it gives you piece of mind, or allows you to price the house higher than you would have without it.

Good Luck!

Jim