How do I know if the price of the house I buy is good?
If you have made the decision to buy a home, we want to help you to study the operation and its economic implications in depth. How to do it?; How to know if the price is right or not?
Find out the average price of the area where the house is located.
At Inmovalley we have the necessary tools to know the average prices of the areas with data on both recently offered and recently sold homes. This step is essential because it will allow you to know if you are facing a good opportunity. By accessing our "Valuator", in a quick and simple way, you will receive all this information and more.
Calculate the PER: Relationship between the benefit and the price of the flat.
Do you know what Price Earnings Ratio is? The normal thing is that no but we explain it to you. It is often used by investors to find out if a company has an attractive listing price and the same can be applied to the real estate sector.
What you have to do is find out what is the rental price of the house that we want to study. Once this information is known, we divide the price of the home by the annual rent. In other words, if the price of a home is €150,000 and its annual income of €8,160 (€680 per month) we would have a PER of 18. If the result is less than 15 we are facing an opportunity. If it exceeds 20 we would be facing a high price.
As you can see, it is important to stop and carefully study the decision. At Inmovalley we put at your disposal both the tools and personal advice to help you decide.